Grain Fed Friesian Steer program value chain design and market opportunity study

Summary

The Australian beef processing industry is currently facing a tough period that is being driven by high input costs due to a reduction in the cattle supply base. This has presented a significant challenge for processors to secure cattle to sustain processing efficiencies while being able to purchase livestock at a price that is commercially sustainable.

The current market dynamic has prompted processors to innovate to create opportunity beyond the current value chain in an effort to survive this financially challenging period.

The objective of the project has been to investigate the viability of developing a sustainable model for delivering Friesian steers into a high value resource stream for the processing sector.

Areas of investigation in the project has included researching best practice Holstein production systems in: dairy steer calf rearing and feedlot programs.

The main methodology used during the project was to observe best practice operations around the world and assess the opportunity to create a commercially viable model suited to the Australian livestock and processing sector.

Bindaree Beef Group (BBG) intends to continue evaluating the viability of the program through the trialling rearing and feedlot programs that have been developed through the aforementioned research work.