1. Unit 2: Beef Production – Mini project Thursday 5.12.2013 Sam, Chuks, Bojana, Alex & Anne 1

2. Agenda  Historic overview  Current situation  Production system  Pasture  Feed lot  Markets  Economy  Development - The future

3. Australia Cattle production across all of the land 40,200 farms – 29,700 in the south alone Large herds – one herd of 500,000!! Environment variable – (Often hot) – not ideal for heat producing cattle 8th largest producer 2nd largest exporter (60%) Exports large amounts to USA and East Asia

4. Green and Clean Australia has built up a reputation for having safe meat, having avoided : -BSE -Foot and mouth Also many of the farms portray Organic farming which is attractive to the customer VS

5. Where in the country? The big divide! NORTHERNSOUTHERN ExtensiveIntensive Grass finisherFeed lots (largest holds 75,000) Dry arid conditionsCooler, wetter conditions Low grass qualityBetter grass quality Brahman, Santa Gertrudis and Bos indicus Angus, Limousin and Charolais Low meat qualityHigh meat quality Export mainly to AsiaExport mainly to USA

6. Type of farming for beef? -Extensive- Many farms across the north of Australia are extensive farms with uncontrolled mating (males and females run together all year) They are exposed to weather conditions – can decrease liveweight up to 10% Also possibilities of infection from wildlife and even poisoning by wild flora – e.g. Ragwort Supplementary feed will be needed due to low grass quality – not always carried out Drinking water low quality

7. Extensive continued… Mother and calf will run together. May not be separated as can be grass fattened – not feed lot Will go many months without human contact Low manual labour Less husbandry so more problems? Lameness Unseen disease

8. Type of farming? -Intensive- Feedlots are on the rise as need for good grain increases Mating is controlled to coincide with a time of plentiful feed Feed lots are common and can house many animals (75,000) Feed lots will feed animals differently depending on their place of export or nature of production Intensive systems are mostly smallholders

9. Intensive continued … Sun shelters required as no natural shade Feed required as no natural forage available Higher labour costs Less illness going undetected Greater beef product per cow Can keep better beef breeds as conditions controlled more

10. SWOT analysis of Australian Beef production Strengths Efficient production methods ‘Clean green’ product Major exporter Weaknesses Volatile global commodity markets Concentration of processing capacity Climatic variability Opportunities Management of production risk Increased demand from Asia markets Attainment of greater efficiencies Threats Input prices Disease risk Climate change

11.  One of the important developments that Australia needs is to improve its feed  Try to balance the affect of the cows on the land – overgrazing  Recent legislation bans land clearing for beef production – more intensive farms? More animals per area?  Ever increasing demand for meat means the market will expand – challenge – to make the expansion sustainable! Development – The future

12. New Zealand

13. Climate  New Zealand lies in the Southern Pacific Ocean, 1,600 km east of Australia.  Total Population of 3.8 million, two-thirds live in the northern region of the North Island, 85% urban and 15% rural.  The climate is temperate - the mean daily range from 44°F (8°C) in July to 63°F (17°C) in January, summer temperatures reach over 86°F (30°C) in many places.  Average rainfall varies widely - from less than 16" in Central Otago (central South Island) to over 250" in the Southern Alps.

14. The current situation Meat Industry generated $4.6bn in export earnings comprising 15% of total merchandise export value National Beef herd- 4.4 million animals Total Dairy herd- 5.1 million herd (indirect contributor to beef supply) Beef industry  account for about 1.1% of total world beef production  About 10% of beef enters the international trade

15.  80% of total beef produced in NZ is exported Markets

16. Beef consumption

17. SWOT Analysis of NZ’s Beef Production

18. Development – The Future change  Changing Demographics and Wealth  Food, Image and Belief  Globalisation  Climate change  Increasing Pressure on Natural resources

19. The Challenge To improve production and profits whilst also improving animal welfare, and reducing the environmental impact. Also to consider the threats to modern farming such as infectious disease and climate change.

20. Thank you!