Meat Standards Australia generates nearly half a billion dollars of farmgate returns in two years
17 January 2024
The 2023 Australian Beef Eating Quality Insights (ABEQI) report has shown that the Meat Standards Australia (MSA) program generated $463 million in farm gate returns for producers over the past two years.
The ABEQI report was generated through the analysis of all MSA graded cattle in the 2021–22 and 2022–23 financial years using data collected by MSA-accredited graders, along with additional data from sources such as the National Livestock Reporting Service (NLRS) and further information such as animal disease and defects.
Dr David Packer, Program Manager for MSA at Meat & Livestock Australia (MLA) said that the ABEQI report puts all of this data and much more into a single document that analyses trends and outcomes from the MSA program, breaking down data by State and a range of other factors.
“The report shows the amazing trend of continual improvement within the industry and it sets out all the data to help us continue to build on these achievements,” Mr Packer said.
The premiums for MSA compliant cattle, combined with the growing numbers of cattle being MSA graded with higher carcase weights, have generated farm gate returns of $463 million since 2021.”
Processors and brand owners will often offer financial incentives for meeting minimum MSA compliance and eating quality specifications, resulting in the significant farm gate returns enjoyed by MSA beef producers in the previous two years.
“In 2021–2023, non-grainfed cattle that met MSA and company requirements potentially received on average an additional $0.36/kg over-the-hooks (OTH) compared with non-MSA cattle,” Mr Packer said.
“The average non-grainfed cattle consigned for MSA grading during this time weighed 306kg, which potentially equated to an additional $110 per head.
“Likewise, the premium for grainfed cattle that met MSA and company requirements was an additional $0.15/kg compared with non-MSA grainfed cattle. In addition, grainfed cattle consigned to MSA grade weighed 347kg which potentially led to an additional $51/head, Mr Packer said.
Meat Standards Australia (MSA) was developed by the Australian red meat industry to improve the eating quality consistency of beef and sheepmeat. The system is based on almost 1.7 million consumer taste tests by more than 250,000 consumers from 13 countries and takes into account all factors that affect eating quality from the paddock to plate.
For more information please find the full report here