Australia’s cattle prices remain highest in world
Australian cattle prices are now the highest in the world, remaining above US prices since June due to a number of factors, according to industry association Meat and Livestock Australia.
It suggested that as well as supply and demand, global prices have been affected by covid-19’s impact on meat companies in the US, and dry weather in South America has led to a fall in supply there.
Referring to data from Steiner Consulting, it said: “The high price of Australian cattle will place pressure on the affordability of Australian beef across markets and could lead to importers looking to other suppliers for more cost-effective options. If the premium on Australian beef becomes a barrier for trade, prices will likely ease across time.”
Brazil’s cattle prices have also risen. “When considering the volatility of markets through 2020, this lift in prices across the two largest global suppliers of beef could come as a shock for import markets,” added MLA.
Image credit: Meat and Livestock Australia
