Annual Review 2012 /13 Contents

Board Members Jim McLaren, Chairman (appointed April 2011) John Craig (appointed April 2011) Ronnie Eunson (appointed April 2013) Johnny Mackey (appointed April 2011) Gordon McKen, MBE, TD (reappointed April 2013) Alan McNaughton (appointed November 2010) Robert Parker (reappointed April 2013) Andrew Peddie (reappointed April 2013) John Scott (appointed April 2011) David Sole, OBE (appointed April 2011) Phil Thomas (reappointed April 2013) The growing trend for consumers Louise Welsh (appointed April 2013) to search for recipes using iPads Henry Graham (appointment ended March 2013) and iPhones has prompted QMS John Gregor (appointment ended March 2013) to place unprecedented focus on 19 digital media in its latest campaigns. Quality Meat Scotland – Staff 4 Chairman’s review 17 Health and education Jim McLaren, QMS Chairman, QMS’s health and education activities ’Uel Morton, Chief Executive reviews the 2012/2013 year are aimed at highlighting the Susan Kinniburgh, Executive Assistant and the key opportunities and importance of red meat in a healthy Carol McLaren, Head of Communications challenges facing the Scottish diet. During the year a number Claire Morrison, Communications and Events Manager red meat industry. of promising new activities and Jennifer Robertson, Health and Education Coordinator partnerships were initiated. Andy McGowan, Head of Industry Development 6 QMS strategy Cameron Craigie, Carcase and Meat Quality Specialist (fixed-term contract) QMS’s top line strategy is to shape 19 Communications Charlotte Maltin, Science and Innovation Manager a sustainable and prospering QMS has a wide range of different Ian MacDougall, Technical Projects Manager Scottish red meat industry. target audiences to reach given Kathy Peebles, Livestock Development Manager the breadth of the activities the 7 Chief Executive’s organisation undertakes. The Allan Ward, Pig Development Manager review communications team works hard to Stuart Ashworth, Head of Economics Services ‘Uel Morton, QMS Chief ensure the most effective channels Iain Macdonald, Economics Analyst Executive, gives some highlights are found to deliver this wide variety Laurent Vernet, Head of Marketing of the wide-ranging activities of information to these audiences. Jack Broussine, Marketing Executive 4 undertaken by QMS on behalf of 21 Assurance Suzie Carlaw, Marketing Controller the Scottish red meat industry. Margaret Stewart, Marketing Manager The pioneering schemes which Sylvia Shepherd, Corporate Services Manager 9 Industry development underpin the Scotch Beef PGI, Scotch Debbie Kerr, Finance Assistant The industry development team Lamb PGI and Specially Selected Pork Kirsty McCormack, Office Coordinator at QMS focuses on activities aimed labels are among the best in the at improving the efficiency, world and cover the entire lifespan profitability and sustainability of of animals born in Scotland. Market Development Agents livestock farmers and others in the 22 Economics Services (Part-funded, fixed-term agents supported by Scottish Government) 9 13 red meat chain in Scotland. QMS’s Economics Services team David Chiffoleau, France The activities undertaken range focuses on ensuring businesses Rita Piva, Italy from scientific projects to practical involved in the Scottish red meat Huub Schoemaker, Benelux hands-on workshops at locations production chain benefit from the Peter Toholt, Germany throughout Scotland. latest industry statistics. Regular Jakob True, Nordic Countries market updates are published online 13 Market development and in the media and an annual Effective marketing to increase sales industry overview and benchmarking

ISSN No: 2051-2805 and underpin consumer awareness publications are also produced. Cover image: Cattle pictured and understanding is particularly on the Kintyre monitor farm 24 Financials run by Duncan Macalister. important in times of economic 17 belt-tightening. 26 Committees

2 Quality Meat Scotland Annual Review 2012/13 3 From left; Paul Anderson, Scottish SPCA Chief Inspector Edinburgh Chairman’s Region; Craig Bonnar, Divisional Retail Director ASDA; Richard Lochhead, Rural Affairs Cabinet Review Secretary; Stuart Menzies, Director Meat and Poultry ASDA; and Jim McLaren, Jim McLaren Chairman of QMS.

Scottish Secretary of State, Michael Moore visited Lurgan Farm near Aberfeldy There are many reasons where he heard about the challenges facing the to feel confident about Scottish sheep industry, including Scotland’s “lost the future of the Scottish levy”. Pictured from left are farmer Martin red meat industry despite Kennedy, Michael Moore the Secretary of State, Jim the many challenges McLaren, QMS, and ’Uel of the past year – from Morton, QMS. the exceptionally wet weather to the significant re-structuring which took place in the Scottish primary processing sector.

One of Scotland’s favourite he horsemeat issue dominated the The licensing process will see quality, high health Scottish livestock, it The Cabinet Secretary for Rural Affairs TV weather presenters, Cat Cubie, joined the store headlines at the start of the year traceability and labelling audits being does mean yet more animals are being and the Environment, Richard Lochhead, sampling event in Tesco and clearly illustrated that competing carried out on companies using the slaughtered outwith Scotland, resulting has also announced the appointment in Dumfries to encourage T shoppers to re-discover on price is a race to the bottom, in which brands. Traceability audits will be further in a further erosion of levy income. of four new board members who the delicious versatility there can be no winners. The scene was enhanced with the use of isotope This also adds to the shortage of will take up their appointments on of Scotch Lamb PGI. set for the adulteration of beef with testing to confirm provenance. livestock to supply Scottish abattoirs, which April 1 2014. The new appointees are horsemeat by intense price competition, are already struggling to source the critical Professor Julie Fitzpatrick, Sarah Mackie, Processor margins coupled with long, complex supply chains. mass required to operate profitably. Part of George Milne and Philip Sleigh. The past year has seen considerable Our industry in Scotland has made the solution is an increase in the sustainable We have a compelling message in change take place in our processing a major commitment to traceability and production of livestock to ensure we have terms of what sets our brands apart – sector, and the margins of many quality assurance from farm to processor the critical mass our industry needs. from the world-leading quality assurance processors remain incredibly tight. which puts our brands – Scotch Beef The announcement in February of behind the Scotch Beef PGI, Scotch Key to the future is achieving critical mass PGI, Scotch Lamb PGI and Specially £1 million funding from the Scottish Lamb PGI and Specially Selected Pork of raw material and it is vital we maintain Selected Pork – in a strong position at Government to strengthen the Scotch labels to our high animal health and the livestock numbers needed to satisfy the times such as the horsemeat fraud. brands still further was very welcome. welfare and our natural, grass-based demand for our world-acclaimed brands. The good news is that some retailers This recognition of the importance of brand cattle and sheep production systems. In the meantime the global are increasingly recognising this and choosing strength to our industry’s future further population continues to grow and with It is vital we maintain the to display the Scotch logos, while consumers underlines our Government’s commitment it the demand for quality red meat. livestock numbers needed are increasingly seeking out products to – and knowledge of – our vital sector. QMS Chairman, Jim QMS’s Scottish Red Meat Industry Profile to satisfy the demand for our McLaren pictured at with strong provenance and traceability. After the closure of Halls of Broxburn, 2013 reveals our industry contributed £2.1 world-acclaimed brands. the launch of a new the Scottish pig industry has been publication highlighting New licensing scheme billion to Scotland’s economy last year boosted by announcements by two major In this, the Year of Natural Scotland we the industry’s positive A new licensing scheme for secondary and supports 50,000 jobs in Scotland. sustainability messages. retailers – ASDA and ALDI – that they are pulling out all the stops to deliver processors – meat wholesalers and However, this piece of work by are committing to the Specially Selected clarity on the very positive sustainability manufacturers – has been introduced to our Economics Services team also Pork label approved by the Scottish role delivered by the production of add weight to the rigorous requirements brings sharply into focus the knife- SPCA, which highlights the high welfare Scotch Beef PGI and Scotch Lamb PGI. already in place to guarantee the edge margins currently being endured standard of pigs on Scottish farms. Indeed Scottish livestock producers are authenticity of Scotch Beef PGI, Scotch by many in the processing sector. at the heart of our country’s sustainability – Lamb PGI and Specially Selected Pork. QMS also continues to support the Strong future environmental, social and economic – and The licensing scheme is a constructive Scottish Government’s commitment During the past year two new members - they deserve recognition as the unsung extension to the steps already in place to deliver a positive result on levy Louise Welsh and Ronnie Eunson – have heroes of the food security debate. to ensure the quality and traceability of repatriation. Scotland is currently missing been appointed to the QMS board. Our QMS is proud to work, at home the industry’s brands, trusted around out on £1.4 million of levy annually. thanks to the two board members who and overseas, for this fabulous industry the world for quality and taste. Meanwhile we are witnessing yet more stood down, Henry Graham and John and we look forward with optimism The scheme makes it mandatory for store animals leaving Scotland destined Gregor. The commitment and enthusiasm to a strong future for our sector. anyone who uses the Scotch Beef PGI, for finishing south of the Border. While they have shown during their board We remain passionately committed to Scotch Lamb PGI and Specially Selected this is welcome in terms of the clear terms has been greatly appreciated. our strategy to promote a prospering and Pork brands to be licensed by QMS. indication it gives of the demand for high sustainable Scottish red meat industry.

4 Quality Meat Scotland Annual Review 2012/13 5 Chief Executive’s Review

‘Uel Morton

QMS’s proactive and open media strategy during the horsemeat issue included inviting broadcasters into meat processing plants.

During the past year a vibrant, wide-ranging programme of activity has QMS been undertaken by QMS on behalf of the Scottish Strategy red meat industry.

Overall strategy s an organisation, we aim to marketing – carefully targeted Improving efficiency consistently punch above our to create maximum impact – is QMS’s industry development activities To shape a sustainable and prospering Scottish red Critical success factors weight and deliver an ambitious particularly important. are aimed at improving the efficiency, meat industry. A Critical success factors for the organisation are: workload in line with our overall strategy It is vital that as an industry we profitability and sustainability of 1) Enhanced awareness of and demand for of working to shape a sustainable and remain on the front foot in terms livestock farmers and others in the Scotch brands prospering Scottish red meat industry. of reacting to the latest consumer red meat chain in Scotland. Specific strategies 2) Deliver industry benefits from QMS initiatives The QMS board sets the strategic trends – for example, the latest market The activities undertaken range QMS will achieve the overall strategy by: 3) Retain public and Government support for red priorities for the organisation to assist research statistics reveal that over 22% from scientific research projects to producers and processors operating of consumers are now shopping online practical hands-on workshops at 1) Working with the industry to develop and meat production and consumption 4) Maximise multiplier effect of statutory levy in the red meat industry to become for their groceries. Our marketing locations throughout Scotland. build markets more efficient and profitable. Our activities are increasingly incorporating QMS also co-funds a number of 2) Increasing the uptake of proven solutions to 5) Retain industry and stakeholder confidence in QMS departmental teams then develop e-marketing opportunities and developing PhD students and leads a network of improve industry efficiencies and deliver a range of activities. social media communications. Business Improvement Groups (BIG) and 3) Assisting the industry to inform consumers 6) Satisfy Scottish Government requirements in operating as a Non-Departmental Public Body Specific strategies with clear objectives Market research statistics monitor farms around the country. and satisfy customer expectations were put in place to support the overall reveal that over 22% of The monitor farm programme, which 4) Creating confidence which promotes industry strategy during our forward planning consumers are now shopping will celebrate its 10th anniversary later this investment in its future process, and regular engagement with – year, continues to grow – with a number online for their groceries. 5) Promoting economic and environmental Measurement of our progress and feedback from – the industry ensures of new farms joining during the past year. sustainability The development of strategy is the responsibility our activities meet the differing needs of Export strategy 6) Developing partnerships and, where relevant, Horsemeat of the board of QMS, and the management beef, lamb and pork businesses. (A list of QMS continues to roll out a programme leveraging additional resources One advantage of being a small team’s role is to ensure its implementation. the members of the various committees of activity behind the updated export organisation and light on our feet is that The Chief Executive reviews the implementation can be found on pages 26 and 27.) strategy we launched in October 2011. We define the red meat industry as those parts we can respond quickly and robustly plan through which the day-to-day management This is aimed at further developing which are involved in the Scottish assurance Market development to challenges. An example of this was of the organisation is delivered and monitors the opportunities for Scotch Beef PGI chain: animal feed suppliers; cattle, sheep and QMS’s market development activities our response when the horsemeat progress on a regular basis with individual and Scotch Lamb PGI in the wider pig producers; livestock markets, hauliers; and behind the industry’s three brands – fraud was uncovered earlier this year. managers. The board receives a written report European market and includes a focus primary processors. Scotch Beef PGI, Scotch Lamb PGI and The horsemeat issue presented on progress to objectives at each board meeting. on Germany and the Nordic regions and, Specially Selected Pork – are aimed the sector with a major opportunity in the longer term, the new affluent at stimulating consumer demand and to show that our house is in order, and The Scottish Government is represented at consumers in China and Russia. strengthening consumer awareness QMS took every opportunity to do so. board meetings and in this way is kept fully up In line with this strategy, QMS of the industry’s three brands. Numerous media interviews were to date with the progress and performance of appointed two new export managers, Our marketing activity is focused undertaken with broadcast and print the organisation. Peter Toholt (Germany) – in a collaboration on delivering vibrant marketing journalists, and we proactively set up agreement with Scottish Development campaigns, developed following media visits to encourage a better International – and Jakob True (Nordic extensive market research and understanding of our industry and Countries). These appointments add to the tailored to meet target audiences. its traceability, quality assurance three existing part-time export manager In times of economic uncertainty and transparent supply chain. posts for France, Benelux and Italy. and tight consumer budgets, effective

6 Quality Meat Scotland Annual Review 2012/13 7 One of the Scotch Beef adverts which QMS launched in February during “Scotch Beef means the height of the horsemeat issue. Industry 100% traceable, dependable

and delicious.” And I have the label to prove it. Development George Fleming, cattle farmer, Perthshire. Nick Nairn, one of Scotland’s favourite chefs, pictured meeting children and staff at the Scotch Beef Children’s Cookery Theatre where around 1000 children cooked with beef, lamb and pork at the Royal Highland Show.

The industry development team at QMS focuses on activities aimed at improving the efficiency, profitability and sustainability of

For guarantees of farm assurance, taste and quality, it has to be Scotch Beef. To find out more and for recipe ideas visit www.scotchbeefandlamb.com livestock farmers and

THE LABEL YOU CAN TRUST others in the red meat Three labels. One Scotch standard. chain in Scotland. QMS-25444-GBTL-IOS-340x262-New-Visual-GK-2013 1 14/02/2013 15:29 Peeblesshire monitor farmers, Ed and Kate Rowell. Forth monitor farmers, Duncan and Duncan McEwen.

The timing of our major Scotch Beef Appointments The Scottish Government has The activities undertaken range from scientific Arnprior Farm, near Kippen, run by the campaign, launched in February, was Following the departure to pastures reaffirmed its commitment to growing food research projects to practical hands-on McEwen family, was selected as the region’s ideal and we responded to the need to new of Stephen Doran, QMS businesses in Scotland through its Food workshops at locations throughout Scotland. debut monitor farm. Duncan McEwen reassure consumers by stepping-up the appointed Claire Morrison as our new and Drink Policy and QMS continues to QMS also co-funds a number of PhD and his wife Anne run the 925 acre farm “trust” messaging in the campaign. communications and events manager. work closely with Scotland Food and Drink students and leads a network of monitor with their son, also Duncan, and his wife, Our “Keep Calm and Eat and other allied industry organisations. farms and Business Improvement Groups Rebecca. The McEwen family have been Scotch Beef” campaign via social Year-round health and The year 2012/13 has seen another 12 (BIG) around the country. tenants of the Garden Estate since 1936. media was very well received. education activities play months of intense activity by QMS and the The new Peeblesshire monitor farm is an important role. Monitor farms We also commissioned surveys which board and staff team is looking forward to Hundleshope Farm, an 1800 acre unit in a Pig monitor farmers, Daniel, Dan and Danny Skinner. During the year the monitor farm highlighted trust and confidence in the Scotch rising to the challenge of another demanding Less Favoured Area (LFA). The farm is run Two new part-time development programme, which reaches its 10th Beef brand. A QMS survey of members of and exciting workload in the coming year. by Ed and Kate Rowell and Kate’s father, officers were also appointed to deliver anniversary in October 2013, continued the Scotch Butchers Club, in the wake of We look forward to maximising John, on a secure tenancy basis. The farm is the work of the Scottish Sheep Strategy. to flourish and grow. the horsemeat issue, revealed that 92% of opportunities for the Scottish red meat mostly hill and a mixed beef and sheep unit. Katie Keiley and Michael Blanche have The programme, supported by QMS butchers experienced increased footfall and industry and we extend our appreciation The new monitor farm for Dumfriesshire taken over the reins from Rod McKenzie. and the Scottish Government’s Skills 95% of butchers believed that customers’ trust to levy payers for their valuable input is Hartbush, Amisfield, on the outskirts Development Scheme along with local in the Scotch Beef brand had increased. Securing grants and to all those working hard in of Dumfries. Hartbush, run by John businesses, aims to improve farm profitability Our year-round health and education Securing additional financial support for Scotland’s red meat sector who assist and Amanda Paterson, is the first farm through a process of peer review and activities also play an important part in the Scottish red meat industry is another us in delivering for the industry. in the Scotland-wide programme to advice along with specialist input and improving the public’s understanding of important aim of the organisation. During focus primarily on beef finishing. In Clyde monitor farmer, Andrew Baillie with his children. support from the monitor farm facilitators. livestock farming, quality assurance and the the past year QMS secured £1.03m in another first, two processing companies, The process involves the selection The Skinners farm around 420 acres, 300 importance of red meat in a healthy diet. grants for work on behalf of the industry. Highland Meats and A K Stoddart, are of a farm, typical of an area, to be the acres of this being owned with a further 120 playing an integral part in the project. Information monitor farm for a three-year period. acres rented locally on a seasonal let basis. QMS’s Keep Calm and An Aberdeenshire farming family QMS’s Economics Services team focuses The monitor farmer hosts meetings Eat Scotch Beef PGI have been appointed as QMS’s new pig Business Improvement Groups (BIG) on ensuring businesses involved in the social media campaign throughout the year at which the community QMS’s network of Business Improvement was well-received. monitor farmers. Danny and Alison Skinner Scottish red meat production chain group of neighbouring farmers propose farm around 400 sows at Lazyfold near Groups (BIG) is delivering results for the benefit from the latest industry statistics. management and other changes to improve Insch, along with Danny’s father, Dan, 350 or so beef and sheep producers Regular market updates are published the profitability of the whole farm business. and their children Daniel and Kerry. involved. Twenty-two BIG groups have online and in the media, and an annual Several new farms were appointed been set up across Scotland, each industry overview and benchmarking during the year under review, with involving up to 18 farm businesses run publications are also produced. some record attendances of up to 150 by producers who are determined to The publications produced during people being attracted to meetings. improve and grow their businesses. the period under review include “The South Lanarkshire farm Carstairs Mains The groups harness financial baseline Scottish Red Meat Industry Profile”, which was appointed as the first Clyde monitor farm. monitoring and benchmarking figures gives a comprehensive update of the size Andrew Baillie has been running the to improve members’ co-operative and scale of both the primary livestock 650 acre farm for two years with his wife, performance, as well as allowing sector and the red meat processing Jen, and the couple have two young producers to investigate opportunities to industry operating in Scotland. children, Rachel and Cameron. Dumfriesshire monitor farmer, John Paterson. collaborate and exchange information.

8 Quality Meat Scotland Annual Review 2012/13 9 Charlie Morgan, pictured at one of the grassland events, urging farmers to make the most of their grassland.

Neil Montgomery, one of the Skye hill farmers involved in a new Scottish Sheep Strategy project.

Last year the Scottish red meat industry made a £2.1bn contribution to Scotland’s Alastair Robb, a member of the Stirling Business Improvement Group (BIG). economy. During the PARABAN project, researchers Surveillance Unit at Moredun, said the The project, due for completion this Ruminomics project took 13,000 blood samples, analysed new bone marrow biopsy technique year, is using automated technology to The possibility of selective breeding to soil and abattoir material and studied should accelerate progress to establish determine carcase pH and temperature produce cattle which are consistently farm management systems to discover the cause of the complex disease. and automatic means of measuring meat low methane emitters, is one area their role in disease spread. The project Bleeding Calf Syndrome, also colour, carcase fat and eating qualities. being explored by the team of scientists also involved nine volunteer livestock known as bovine neonatal pancytopenia The project aims to integrate the working on the Ruminomics project. farms experiencing Johne’s problems. (BNP), is caused by antibodies in the technology used to assess the above Ruminomics is a €5.9 million project PARABAN, led by Scotland’s Rural colostrum which attack the bone with a video analysis (VIA) system to funded by the EU and running until 2015. College (SRUC), was funded by the Scottish marrow cells of the calf after suckling. lay the foundations for a new process QMS is a partner in the project which Funding Council, in partnership with for use at line-speed in abattoirs. Grassland management comprises teams of scientists from the UK, the Scottish Government and industry. Pioneering black loss project France, Italy, Finland, Netherlands, Czech Working with SRUC were specialists from A series of grassland events organised Republic and Sweden, with international Trying out electronic equipment at a sheep EID event. Pioneering tracker technology looks the Universities of Glasgow and Edinburgh by the Soil Association with support advisors from Canada and Australia. set to play a key role in solving the Sheep EID events and the James Hutton Institute. Industry from SRDP’s Skills Development Scheme The preliminary findings of the project unexplained disappearance of sheep – Among a series of workshops on contributions were co-ordinated by QMS. and QMS, saw grass expert Charlie add further support to the idea that the known as “black loss” – on hill farms. different subjects run by QMS over the A PARABAN video has been Morgan, GrassMaster Ltd, urge farmers genetics of an animal may influence to make the most of their grassland. year were a number of sheep EID events produced. This can be viewed at The use of performance the level of methane produced. highlighting the potential of different www.qmscotland.co.uk or requested Grass is, he said, the cheapest feed recorded tups plays a key Scottish Sheep Strategy types of electronic sheep tag readers by calling 0131 472 4040. farmers have access to in terms of raising livestock, and the greatest resource farmers role in improved returns. The use of performance recorded tups and systems for sheep businesses. Research and development The workshops featured independent have is their soil so livestock farmers need plays a key role in improved returns conference The identification of a workable technical instruction from ScotEID and to get that soil working effectively. according to the results of the second tracking solution for use on hill lambs could aimed to demystify the technology and The latest technology and scientific Recent weather patterns, said Mr year of the QMS Scottish Sheep herald a major step forward in efforts by the jargon to give farmers the confidence research aimed at improving producers’ Morgan, have led to real compaction Strategy Better Breeding project. industry to better understand this long- to ask the right questions to the suppliers efficiency and profitability were showcased problems, and producers have to The conclusion of two years of results standing problem for sheep farmers in of readers and software to ensure they at the QMS research and development address and correct these problems for Suffolk-sired lambs, under difficult the Highlands and Islands of Scotland. get the right equipment for their needs. conference in January 2013. to grow a decent amount of crop. and variable weather conditions, showed Expert speakers from across the UK A two-year study by the Highlands Eating quality project that in almost every case the progeny of Paraban project and Ireland covered a range of topics & Islands Sheep Health Association, in performance recorded rams with high A research project to determine the A three-year study into the control of relevant to those working in different conjunction with QMS, ScotEID, SRUC indexes was better than those selected eating quality of meat moved into Johne’s Disease, a major wasting disease sectors of the industry – from disease and SAOS, has confirmed the existence purely by eye – leading to greater financial its final phase during the year. of cattle, has shown it is possible to control and animal health to the latest of an average of 18.8% annual black returns for the farm concerned. QMS and the Scottish Government are significantly reduce on-farm infection. efficiency-boosting technologies. loss on four participating hill farms. A new project, which aims to co-funding the Integrated Measurement However, the project has also Among the breakthroughs unveiled Over the period of the study 5,063 evaluate how producers running sheep of Eating Quality (IMEQ) project being confirmed that a long term, strategic at the event was a new petri dish- lambs were electronically tagged as close in a commercial “hard hill” business delivered by a consortium of partners, approach to disease control is often based technique to investigate the as practically possible to birth and their can benefit from using performance led by Scotland’s Rural College (SRUC). required as well as commitment by cause of Bleeding Calf Syndrome. identity was recorded and uploaded recorded genetics, was unveiled by QMS both the farmer and the farm vet. Dr Kim Willoughby, Head of Viral to the ScotEID sheep database. at NSA Highland Sheep in May 2013.

10 Quality Meat Scotland Annual Review 2012/13 11 Market Development

Quality Meat Scotland’s market development

Professor Phil Thomas with the activities behind the THE GREAT Research and Development Report. industry’s three brands – QUALITY OF TASTE iPad – and it is available for download Scotch Beef PGI, Scotch from the Apple App Store. The free app is aimed at farmers, Lamb PGI and Specially land managers and other land users Selected Pork – are who want to know how much carbon aimed at stimulating DEPENDS ON GREAT is in their soil, helping them determine QUALITY OF LIFE fertility and appropriate use. consumer demand and Carbon storage in soils is recognised strengthening consumer Campaign financed with aid as one of the best strategies for removing from the European Union. For guarantees of farm assurance, taste and quality, it has to be Scotch Beef. For recipe ideas visit www.scotchbeefandlamb.com carbon dioxide from the atmosphere and awareness of the brands. Dr Matthew Aitkenhead demonstrates the new soil carbon app. mitigating the effects of climate change. The initiative, announced by Rural Affairs Rumen fluke Pig health QMS’s marketing activity is focused Scotch Beef PGI The February and March campaign Cabinet Secretary Richard Lochhead at the Rumen fluke could become as widespread Among the projects with a pig health focus on delivering vibrant marketing The key Scotch Beef messages successfully integrated two very Dingwall event, is the latest step in QMS’s as liver fluke in Scotland, according to which have been ongoing over the past year campaigns, developed following which were communicated via different, but complementary, types Scottish Sheep Strategy Better Breeding Project the latest research funded by QMS. were on-farm investigations into elevated extensive market research and our marketing and promotional of adverts – “Great Quality of Taste”, and will evaluate the offspring of performance Dr Philip Skuce, Senior Research levels of pleurisy and a feasibility study into tailored to meet target audiences. activities during the year under which featured Scotch Beef dish recorded sheep on a number of hill units on Scientist, Moredun Research Institute, alternative monitoring systems for salmonella. In times of economic uncertainty review were: tradition; production images and “Get Behind the Label”. the Isle of Skye over the next two years. said that while this revelation would and tight consumer budgets, effective techniques; quality; taste; and trust. Get Behind the Label The project will be centred on four not be welcomed by Scottish producers A free, new soil carbon app marketing – carefully targeted to create The November 2012 campaign in Two Perthshire farming families dedicated farms on the island. already faced with a major liver fluke has been launched by QMS maximum impact – is particularly important. Scotland featured two eye-catching to producing top quality cattle had star Quality Meat Scotland (QMS) has challenge, the good news is that rumen to provide farmers with a To follow is an insight into some of adverts combining food and landscape roles in the “Get Behind the Label” part appointed Katie Keiley and Michael fluke rarely causes disease in livestock. quick, cost-effective source of the key activity QMS’s marketing team imagery to encourage consumers to of the Scotch Beef campaign aimed at Blanche as part-time development Dr Skuce said that 2012 had seen as information about the organic delivered during the year under review. think about what makes Scotch Beef around 5.3 million consumers in the target officers, responsible for the delivery many cases of rumen fluke diagnosed as had matter content of their soil. Targeted campaigns PGI special in terms of its production audience for the Scotch Beef PGI brand. of the Scottish Sheep Strategy. been in the previous five years combined. and taste. This month-long campaign, Ensuring the right tone and campaign The farmers featured in the adverts However, while the rumen fluke parasite may complemented by direct marketing activity Cryptosporidiosis The Wholesome Pigs (Scotland) abattoir messages are developed for different target were the McGowans of Incheoch be becoming more common, actual disease in the first week of December, was part The severe impact of Cryptosporidiosis health monitoring programme continued to groups of consumers is a priority. To achieve Farms in Glenisla and the Flemings caused by rumen fluke is still very rare. He of a £700,000 Scotch Beef spend, co- on the Scottish cattle herd was demonstrate its value with early detection of this, regular market research is undertaken to of Aberbothrie farms near Alyth. cautioned that the presence of rumen fluke financed by the European Commission. highlighted at the launch of QMS’s several new outbreaks of enzootic pneumonia allow QMS to develop marketing strategies The campaign ran over eight weeks, alone, in the absence of clinical signs, was not The main campaign, which involved Research & Development report. and swine dysentery, allowing prompt which are carefully tailored to deliver with the key elements of the push to be taken as an indication to blanket treat GB-wide activity with a London focus, According to veterinary surveillance control measures to limit economic losses. maximum impact and best value for money. including poster adverts sited to reach animals, because at present, we rely on a single took place in February and March 2013. reports, cryptosporidiosis has increased QMS’s marketing strategy groups road and rail travellers in greater London flukicide (oxyclozanide) to treat rumen fluke. Research and Development The timing of the two campaigns, as a diagnosed cause of scour in calves. involve representatives from different areas of and Scotland. The online advertising Report 2013 November then February and March, Veterinary surveillance reports showed that New soil carbon app the production chain in the development of included a video ad on target websites. A more detailed insight into the wide was decided on in line with feedback in 2011 Cryptosporidiosis was responsible A free, new soil carbon app has been the marketing activities behind the brands. range of research and development from the wider industry and was aimed for 35% of scour outbreaks in calves less launched by QMS to provide farmers The growing trend for consumers The Scotch Beef campaign projects and studentships which QMS at driving awareness at times when than one month old in Scotland. with a quick, cost-effective source of to search for recipes using iPads and was aimed at around 5.3 funds can be found in the Research consumer demand traditionally eases. However, despite its importance to information about the organic matter iPhones has prompted QMS to place million consumers in the and Development Report 2013. When the horsemeat issue emerged the health of the national herd, very content of their soil. unprecedented focus on digital media in target audience for the The report is available to in mid-January, QMS moved quickly to little is known about the different strains The app, known as SOCiT (Soil Organic its latest campaigns. A successful event for Scotch Beef PGI brand. view online or to download by visiting step-up the Scotch Beef campaign’s trust causing disease present in Scotland, and Carbon information), provides information food bloggers was held in London in May. www.qmscotland.co.uk, where you can messaging in line with the brand’s robust the control method options are limited. that can help farmers, and others, make Another example of the importance In-store promotion and tasting sessions also read detailed reports on other projects quality assurance and traceability. This Cryptosporidiosis is of great importance better management decisions as a result of digital communication is the fact that also took place in key retailers, with Scotch including the monitor farm programme. sharpened the impact of the February to the UK livestock industry. Infected animals of improved understanding about the more than 45,000 consumers have now Beef brand ambassadors taking part in You can also request a free copy by and March campaign at a time of may suffer from diarrhoea, loss of appetite, condition and fertility of their soil. downloaded QMS’s free “perfect steaks around 120 promotion days GB-wide. post by calling QMS on 0131 472 4040. crucial opportunity to further develop and dehydration, and – in severe cases – The James Hutton Institute, in and roasts” app coupled with the fact Adverts also appeared in target print consumers’ confidence in the brand. infection may cause death. Those most at risk partnership with Quality Meat Scotland, that the Enjoy Quality Meat Facebook media during the course of the campaign. are young livestock around 2–10 days old. has produced the app for iPhone and page now has almost 8000 followers.

12 Quality Meat Scotland Annual Review 2012/13 13 Campaign financed with aid from the European Union.

HRH The Princess Royal at the Scotch Beef Club butchery demonstration in London.

Local Scotch Lamb is born and reared on farms in Scotland meeting the highest quality standards. It’s also at its tastiest and most succulent this time of year, so try it now. Visit www.scotchbeefandlamb.com for a free recipe booklet.

Viv Harvey demonstrates alternative cuts at a Scotch Beef Club event.

QMS-25435-Scotch-Lamb-6-Sheet-AW-GK 1 07/08/2012 12:23

Scotch Lamb PGI and Euromillions lottery on BBC1, joined QMS-commissioned research which The number of targeted shoppers year. Among the successful campaigns Encouraging understanding The key messages which underpinned Scotch Lamb ambassadors to tempt was carried out by IGD, revealed that agreeing that the label is the “best run during the past year was a and skills the strategic approach that QMS consumers with tasty samples as part of a Scottish consumer recognition of available” increased to 42% compared to “Make More with Mince” promotion, As well as undertaking technical adopted for Scotch Lamb PGI during Scotland-wide QMS sampling campaign. the Scotch Lamb brand in Scottish 35% and, encouragingly, in a time when highlighting the versatility of cooking demonstrations to Scottish catering the year under review include Every day in March 2013 the sampling target markets is strong at 85%. with minced beef, lamb and pork. colleges, QMS also supports a number team visited a different store, covering the The “Greatest Grillers” campaign raising awareness of the season Specially Selected Pork of key awards to encourage skills in the when lamb is at its most plentiful length and breadth of Scotland, to show encouraged consumers to enjoy grilling butchery and catering trades. During The marketing strategy for Specially and a “Buy Local” call to action. the public how simple it is to cook succulent, top quality beef, lamb and pork whatever the year under review a new award Selected Pork focuses on the The campaign delivered in September tender Scotch Lamb PGI. They also the weather, indoors and out, and included to find Scotland’s top beef and pork importance of the quality assurance and October 2012 built on the success of handed out recipe leaflets packed with a leaflet packed with recipes and advice premium sausages was introduced. scheme behind the brand and the 2011 campaign and urged consumers simple dish ideas to take home. including the best cuts for grilling and BBQ Premium sausages are defined as particularly highlights welfare and to “Buy Local” when making their purchase QMS also supported Scotland’s major themed activities for children to enjoy. sausages with a meat content of more the Scottish SPCA involvement. decisions. The imagery included a tantalising hospitality event, ScotHot, in March as well than 72%. Premium beef sausages are Consumer awareness of the Specially Consumer awareness of the dish of Scotch Lamb PGI cutlets served as the Scottish Chef Conference. At both required to be made from a minimum of Selected Pork label increased to a record 41% with a Moroccan-style chickpea salad. events the focus was on Scotch Lamb. Specially Selected Pork label 85% visual lean meat and pork sausages, in Scotland following the QMS marketing The four-week campaign was aimed increased to a record 41% from a minimum of 80% lean meat. campaign on behalf of the Scottish pig Winner of the title of Scotland’s top premium pork at 88.9% of the target market in Scotland in Scotland following the industry, which ran from May to July 2012. sausage 2013 was a “pork and mustard” sausage from Export scene and featured print advertising as well Robert Watson of Watsons of Leven, pictured here with QMS marketing campaign The key objective of the Scotland-wide A new export strategy was announced as digital display panels in the Glasgow Lady Claire Macdonald at the Royal Highland Show. on behalf of the Scottish campaign was to increase awareness of the by QMS in October 2011, and export Underground. The activity also included household budgets are continuing to be pig industry which ran logo by target consumer groups in Scotland representatives have been appointed an online advert plus a presence on squeezed, the number of targeted shoppers from May to July 2012. in order to encourage consumption and for the following markets: Germany, key cooking and recipe websites. who claim that they would pay more for increase market share of branded product. A further campaign encouraged chefs the Nordics, Italy, Benelux and France. Perthshire livestock producer Jim Fairlie the product rose to 39% from 33%. The campaign adopted the to increase their skills and rediscover These contracts are for three years was revealed in October 2012 as the face A team of top chefs from Scotland strapline “When it comes to taste, it’s unusual steak cuts. The activity was under the Marketing Development of the latest “Get Behind the Label” advert were among 45 nations from around all about the label”, communicating complemented by a series of workshops, Scheme. In Germany and the Nordics, for Scotch Lamb PGI. the world competing in the “Culinary the benefits of purchasing Specially attended by over 50 chefs, which QMS the focus is on promoting Scotch Beef The eye-catching new advertising Olympics” at the IKA show in Erfurt, Selected Pork, and provided a compelling ran for members of the Scotch Beef Club PGI and Scotch Lamb PGI. In Italy, Benelux creative was aimed at communicating to Germany in October 2012. reason for the shopper to look for which has around 300 members in GB. and France, the export representatives consumers that the Scotch Lamb label The chefs chose Specially Selected the label at point of purchase. This was also one of the key messages continue to promote Scotch Beef PGI and guarantees farm assurance, taste and Pork fillet and cheek as their main course Looking at pre and post-campaign at a Scotch Beef Club event held at Butchers Scotch Lamb PGI but also support Scottish outstanding quality. ingredients in a menu carefully constructed figures, a considerable increase of 61% Hall in London, in the presence of Club companies to develop their trade for In response to the late supply of lambs, by the team to showcase the very best of targeted shoppers, compared to President, HRH The Princess Royal. During generic beef and lamb from Scotland. following the exceptional weather conditions, of Scottish hospitality and cuisine. 49%, agreed Specially Selected Pork is the event, master butcher Viv Harvey During the period under review more an additional in-store campaign took produced to “higher standards” while Scotch Butchers Club demonstrated a range of alternative cuts than 450 in-store activities, including place in March. 46%, compared to 37%, agreed the Around six campaigns for the Scotch from featherblade, which is a forequarter cut sampling, took place in French, Belgian Glasgow-based Cat Cubie, best known Specially Selected Pork label represents Butchers Club, which has around 300 traditionally used for braising, to D rump, a and Dutch food retailers, along with for presenting the BBC Scotland weather Perthshire farmer Jim Fairlie appeared in the “Get Behind the Label” adverts for Scotch Lamb PGI. a product with higher animal welfare. members, are developed by QMS each large cut from the top of the leg and rump. three road shows in Italy and five

14 Quality Meat Scotland Annual Review 2012/13 15 Loyal Scotch Beef and Scotch Lamb importers were recognised by QMS at SIAL, one of the world’s Health and largest food fairs. Education

Scotland manager Gordon Strachan and QMS Chief Executive ’Uel Morton attending a Street Soccer Scotland training session.

Ashley Glen, QMS award winner, with Tom Kitchin.

Scotch Beef Around 35,000 professional buyers Champions in Schools is a role- The events, aimed at 1000 players showcased During the past year a at Taste of such as hoteliers, restaurateurs and model programme that places more in Glasgow, Aberdeen, Dundee and Amsterdam. executive chefs visited HOFEX, offering number of new activities than 130 of Scotland’s top international Edinburgh, offer QMS an important a valuable opportunity to secure and partnerships have been athletes in the classroom to deliver a opportunity to communicate the health trade for Scotch Beef and Scotch series of inspirational workshops. benefits of eating a balanced diet, Lamb with the Hong Kong market. added to the increasing A healthy, balanced diet is a key and a new football and healthy eating Working together health and education work message conveyed by the athletes who also publication is also being developed. QMS continued to work closely with its undertaken by QMS, which educate pupils on how to set and achieve The partnership also presented sister organisations elsewhere in the UK, goals, appreciate the value of hard work the opportunity for QMS to work as well as the Scottish Government and aims to communicate the and adopt a positive, winning attitude. with some of the country’s top other devolved governments and Defra, important role of red meat During the past year a “Fridge national players, as well as Scotland to support the work of the UK Export Challenge” interactive game was added manager Gordon Strachan. Certification Partnership (UKECP). in a healthy diet. to the healthy eating element of the visits, Scotch Beef PGI will also appear and in many cases the athletes showed on the shirts of the Scotland team Working with top chefs School visits the children how to cook simple nutritious playing in the Homeless World Cup and food service During the year under review, QMS dishes using beef, lamb and pork. 2013 as part of the partnership. Among the many leading chefs QMS delivered more than 150 demonstrations worked with on various projects were Awards Meaty careers to schoolchildren in Scotland. Andrew Fairlie, Nick Nairn, Lady Claire Ashley Glen, a sixth year pupil at Dalkeith Six Aberdeenshire youngsters joined QMS The demonstrations are tailored cookery workshops with journalists A team of top chefs from Macdonald, Martin Wishart, Alan High School, Edinburgh, was named at the Royal Highland Show to launch to the age and area of study of the and chefs from continental Europe. Scotland were among 45 Pickett, Tom Kitchin, Simon Rimmer and Scotland’s Top Hospitality Student and a new “Meaty Careers” booklet. pupils and, where possible, the children Albert Roux. Among the key consumer received her award, supported by QMS, The booklet is aimed at increasing Major overseas events nations from around the are encouraged to participate via a events QMS attended were the BBC from Michelin star chef, Tom Kitchin. awareness, among young people, of the Around a dozen Scottish meat companies world competing in the selection of interactive opportunities. Good Food shows in Glasgow and Ashley achieved the highest mark for the wide range of career options available – representing over 75% of the Scottish “Culinary Olympics” at The sessions, which often involve a Birmingham as well as Taste of Grampian Intermediate 2 Hospitality Practical Cookery in the Scottish red meat industry. production – met existing and potential the IKA show in Erfurt, chef, aim to communicate in a simple and and the Dundee Food Festival. The course, beating off strong competition from buyers in Paris on the QMS stand at SIAL, Germany in October 2012. engaging way the value of red meat to Royal Highland Show also provides a over 7,000 other pupils across Scotland. one of the world’s largest food fairs. a healthy lifestyle and also the simplicity valuable platform for engaging with Scotch Beef PGI and Scotch Lamb Scotch Beef was also showcased on of preparing tasty, nutritious meals. Street Soccer Scotland consumers through our lively cookery PGI now have a presence in nearly a menu celebrating the best of Scottish QMS also sponsored EcoSchools An exciting new partnership between theatre and brand ambassador team. every major outlet in our key markets produce at a networking dinner organised One Planet Picnic competition which QMS and Street Soccer Scotland QMS also worked with the organisers of of France, Benelux and Italy, and the by Scottish Development International focuses on taking messages to pupils was launched during the year. the Diner des Grands Chefs in London to longstanding loyalty and commitment to (SDI) at Gulfood in Dubai, the world’s about local produce, sustainability, the QMS worked with Street Soccer ensure top quality Scotch Beef PGI was the Scotch brand shown by Beauvallet, biggest annual food and hospitality show. environment and health and well-being. Scotland, which has Sir Alex Ferguson as a Scotch Beef importer based in France, The Scottish red meat industry also served at one of the most prestigious its patron, to set up a new nationwide and Van Engelandt, a Scotch Beef and made its presence keenly felt in Hong international chef events in the world. Champions in Schools grassroots football five-aside challenge Scotch Lamb importer from Belgium, Kong in May at HOFEX, the largest food QMS stepped up its involvement in the series for young people and adults from was recognised with awards at SIAL. and hospitality trade show in Asia-Pacific. Winning Scotland Foundation’s Champions socially disadvantaged backgrounds. in Schools programme during the year. The launch of “Meaty Careers” at the Royal Highland Show.

16 Quality Meat Scotland Annual Review 2012/13 17 Inspirational adventurer Mark Beaumont joins pupils at a Champions in Schools session. Communications

TV presenter Carol Smillie pictured at the launch of the Round the Table campaign with staff at Simon Howie’s in Perth.

Making the Most

Making the Most of of the Media the Media booklet

Young Scot Awards programme which is running each year it With Meat’ programme at Bathgate QMS has a wide range of Our target media includes the farming leading quality assurance underpinning QMS supported the health category of up to Glasgow 2014. Individuals, groups, Academy as well as careers events. and meat trade press, the consumer-read the Scotch Beef PGI, Scotch Lamb PGI clubs and schools are all eligible to apply, different target audiences media and the food service media, along and Specially Selected Pork brands. the Sunday Mail Young Scot Awards, Publications/materials which were also televised by STV. and this year’s bursary winners range from to reach given the breadth with specialist food and lifestyle publications. QMS’s communications strategy Scotch Beef advertising star Chris Olympic weightlifting to ultra running. QMS produces a range of publications Developing and maintaining strong was one of openness and transparency and other interactive materials to support of the activities the relationships with key media, including and we aimed to proactively seek out Capaldi (Glen) presented the award, Scotch Beef PGI Children’s our health and education work. During the news desks and planning teams, helps every opportunity to get these positive which also saw more than 600 Cookery Theatre organisation undertakes. youngsters enjoy Scotch Beef-branded the year we launched a new edition to ensure we are in a strong position messages to the media and consumers. QMS sponsored the Scotch Beef burgers at the pre-awards dinner. of Performance Plus and produced The communications team to tackle potentially negative stories. Interviews took place with the Children’s Cookery Theatre at the Royal a new children’s publication full of broadcast media (including BBC, Sky and Healthy activity bursary Highland Show, where around 1000 works hard to ensure the information about the importance of QMS has produced a guide ITV) and print media (from tabloid to The Minister for Commonwealth Games children were shown how to cook red meat called “Meat the Facts”. most effective channels are for farmers and others in the Times), and a PR push added weight to and Sport Shona Robison joined QMS healthy beef, lamb or pork dishes. found to deliver this variety industry to help them make the QMS’s Scotch Beef marketing campaign chairman Jim McLaren at an event to QMS also had a stand in the Discovery QMS supported the health most of media opportunities. which was launched in February. announce the winners of the 2013 QMS Centre, and school groups were told about of information to these category of the Sunday Mail The guide is available free We also set up photocalls to highlight and SportScotland Go For It Scotland sports livestock production at QMS’s ringside Young Scot Awards which were audiences. from QMS by calling the benefits of a short supply chain, taking and healthy activity bursaries. Thousands stand, where they had the opportunity televised by STV and presented 0131 472 4040 or downloading the media to venues ranging from a of people are benefiting from the bursary to see sheep, cattle and pigs up close. by Chris Capaldi (Glen). The workload ranges from raising from www.qmscotland.co.uk. butcher’s shop to a meat processing plant. Farm visits and events awareness through traditional and A number of surveys were also QMS works closely with the Royal Highland social media of the latest technology or One example of our activities to drive undertaken to provide further evidence Education Trust (RHET), and during the year advice to improve livestock producers’ better understanding of the industry was a of the trust consumers were placing in we continued to support a campaign to efficiency and profitability to planning “Scotch Sustainability” document, produced the Scotch brand and of the increased recruit more livestock farmers to host school and delivering PR campaigns dovetailing by QMS to showcase the industry’s positive footfall in butchers’ shops and consumer visits. QMS also supported RHET’s activities with QMS’s marketing campaigns. economic, environmental and social interest in meat provenance. with children, including the production of sustainability messages. We work closely QMS’s communications team also Making the Most of the Media new presentation boxes containing items with our sister organisations elsewhere in focuses on ensuring consumers and On occasions such as the horsemeat issue such as ear tags, animal feed and a butcher’s the UK and with the communications teams target groups, such as teachers and we support the industry behind the scenes chainmail glove as well as information of other key organisations in the industry. health professionals, are aware of the offering advice and information to leaflets and an interactive quiz for farmers During the period under review, QMS also role of red meat in a healthy diet. organisations and individual farmers and to take with them when visiting schools. undertook and supported a number of butchers approached by the media. QMS attended a number of Food and Media relations visits by journalists and influential food During the period under review Farming events organised by RHET, and QMS’s communications team provides bloggers from the UK and overseas. we also produced a guide for farmers other events where we had a health and the media with a constant stream of Horsemeat response and others in the industry to help them education presence included Dundee Food varied stories, accompanied by strong The horsemeat fraud which hit the make the most of media opportunities. and Flower Festival, West Lothian Together photography. Over the past year we have headlines in January 2013 gave the Scottish The guide is available free from QMS by Minister for Commonwealth Games and Sport for Health Food Festival, a collaboration also been trialling the production of short Samantha Kinghorn launched the red meat industry a fantastic opportunity to calling 0131 472 4040 or downloading Shona Robison and QMS Chairman Jim McLaren with SFDF and AK Stoddarts on the ‘Make new edition of Performance Plus. videos on key topics, aimed at online use. with gymnasts at Chalky’s, Stirling. showcase the robust traceability and world- from www.qmscotland.co.uk.

18 Quality Meat Scotland Annual Review 2012/13 19 Culinary legend Albert Roux with the six finalists of the Border Union Bicentenary Roux Apprentice Award, supported Assurance by QMS (Scotch Lamb).

Closing the gap between town and country – TV weather presenter Cat Cubie experiences her first lambing.

The pioneering schemes which underpin the Scotch Beef PGI, Scotch Lamb PGI and Specially Selected Pork labels are among the best in the world and cover the entire lifespan of animals born in Scotland.

Roux Apprentice Carol Smillie backs campaign Centenary cookbook As well as farms, the assurance schemes The total number of members as at QMS worked with the Border Union QMS launched a campaign to encourage Farming folk from throughout Scotland cover the feed, auction markets, transport April 2013 is 10,199 – slightly down Agricultural Society (BUAS) to launch the people to rediscover the benefits contributed their favourite family recipes and processing sectors. on the year. This is reflection of the Border Union Bicentenary Roux Apprentice of taking time to eat together with featuring Scotch Beef PGI, Scotch Lamb PGI QMS is the guardian of the industry’s continued slow decline in the number Award with Andrew Fairlie at Gleneagles. support from Scottish TV personality and Specially Selected Pork for a Centenary voluntary consumer assurance schemes. of farm businesses in Scotland and of In May, six trainee chefs from the and busy mum of three, Carol Smillie. Cookbook, that was compiled by QMS. These schemes are, however, managed others ceasing livestock production. Scottish Borders cooked for Albert Ms Smillie is one of a host of Scottish The cookbook celebrates NFU Scotland’s independently from the other activity Around 93% of Scotland’s Roux OBE, KFO, one of the world’s celebrities – including Sir Alex Ferguson, 100 years, and all profits from the sale of the QMS undertakes on behalf of the Scottish breeding cattle population greatest restaurateurs and chefs Ewan McGregor and Lorraine Kelly – books are going to the NFUS Centenary Trust red meat industry. Fees paid by members and 82% of breeding sheep who, along with Andrew Fairlie, is who provided recipes for the “Round which has been set up by way of a legacy of the schemes are used purely to cover are covered by farm assurance. a great supporter of Scotch Lamb. the Table” cookbook, which celebrates of this milestone in the Union’s history. the costs of independent assessments QMS’s involvement with the award, the experience of eating together. and scheme administration – hence the In the pig sector, almost 100% of Scotch Beef Farm of the Year run in association with Borders College, The profits from the £10 sale of schemes are effectively self-funding. significant pig farming businesses QMS and AgriScot launched the Scotch also saw Scotch Beef PGI and Scotch Lamb the book will go to raise funds for are covered by farm assurance. Beef Farm of the Year in 2012 to showcase Standard setting Around 50,000 PGI served at a lunch and dinner in the children’s charities CHAS and CHILDREN exceptional beef producers. The overall Each of the six schemes in operation has its Appointment of independent presence of the Countess of Wessex. 1st. To request a copy of the book, jobs are winner was Roxburghshire-based Upper own standards set by the standard setting certification bodies call QMS on 0131 472 4040. Sunshine after the rain Nisbet Farm, near Jedburgh, run by Robert bodies. These bodies are made up of Assessment and certification bodies to dependent on TV weather presenter Cat Cubie and Jacqueline Neill. One of Britain’s most individuals with a broad range of knowledge operate the six assurance scheme are brought a welcome ray of sunshine successful chefs, Brian Turner, described all and expertise, who ensure the views of all appointed on a three-year basis following the Scottish red with her when QMS recruited her to three finalists (including Perthshire-based affected stakeholders are taken into account. a competitive tendering process. A work on a campaign to raise the profile Netherton Farm near Auchterarder, run The standards are reviewed annually tendering process was carried out in 2010 meat industry. of Scotch Lamb in March 2013. by the McLaren family, and East Lothian- to maintain EN45011 accreditation, the and following this, from 1 April 2011, She undertook a variety of activities: based Cairndinnis Farm, near Haddington, recognised European standard for product SFQC was appointed to operate all six visiting sheep farmers; joining Scotch run by Euan Smith) as “dedicated, certification. This annual review also takes schemes: QMSFA – Cattle and Sheep; Lamb brand ambassadors and local focused and experts in their field”. into account changing circumstances in the QMSFA - Pigs; QMS Haulage; QMS Feed; farmers during a sampling event in Tesco industry and the wider operating environment. QMS Auction Market assurance scheme; Communications with levypayers in Dumfries; learning to cook great A full list of QMS committees can and the QMS Processor scheme. Two newsletters are issued each year to Scotch Lamb dishes with Sarah Mellorish be found on pages 26 and 27. update levypayers on the activities QMS is at Let’s Cook Scotland; and having undertaking for the industry. Our weekly Scheme membership her first lambing experience when she e-newsletter is issued to more than 4,000 Cattle and sheep: 9,771 visited Balmonth Farm, near Anstruther, subscribers and during the past year we run by Carole and Ian Brunton. Pigs: 160 have successfully increased our social The visit also marked the 10th Haulage: 116 media presence via Facebook and Twitter. anniversary of the farm opening Feeds: 94 its gates to 1,500 school children Auction markets: 32 through visits organised by the Royal Hollywood film star Ewan McGregor also backed the QMS “Round the Table” campaign and is pictured Processors: 26 Highland Education Trust (RHET). with QMS Head of Communications Carol McLaren.

20 Quality Meat Scotland Annual Review 2012/13 21 may have increased by 10% but the farmgate price of beef moved more than Economics 12%. Pigmeat and lamb fared a little better, with the average annual retail Services price moving faster than the change in the annual average farm gate price. However, the lower abattoir throughputs meant that an abattoir’s fixed costs had to be carried by lower production QMS’s Economics Services meaning that, across all species, the costs per tonne of saleable meat produced team focuses on ensuring Scottish calf registrations increased. This placed further pressure on businesses involved in the processor margins during 2012, and these 660,000 pressures have continued into 2013. Scottish red meat production 640,000 chain benefit from the 620,000 latest industry statistics. 600,000

Regular market updates 580,000 Mid-year estimates of Scottish livestock population (‘000 head) Head are published online and 560,000 2008 2009 2010 2011 2012 in the media, and an annual 540,000 Total cattle 1,855 1,812 1,825 1,804 1,788 industry overview and 520,000 Beef breeding herd 465 451 457 459 452 benchmarking publications 500,000 Dairy breeding herd 192 187 185 182 182 are also produced. 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Year Total sheep 7,105 6,921 6,755 6,801 6,736

The publications produced during the 2012 of 0.6% to 577,967. The decline result in a reduction of 9% in the total Breeding flock 2,779 2,708 2,645 2,642 2,624 period under review include “The Scottish in year-on-year calf registrations has number of animals slaughtered in Scottish Total pigs 436 396 411 390 363 Red Meat Industry Profile”, which gives continued into the first half of 2013. abattoirs (with all species being hit to a comprehensive update of the size A prolonged period of historically similar degrees) to 2.43m animals. Slight Breeding herd 37 33 39 36 32 and scale of both the primary livestock firm producer prices in the sheep sector improvements in carcase weights meant sector and the red meat processing has halted the decline in breeding ewe that the quantity of meat leaving Scottish industry operating in Scotland. numbers during 2012. However, the poor abattoirs fell by 8%. Some three-quarters Scottish livestock slaughterings (head) “Cattle and Sheep Enterprise weather of much of 2012 and over the of this meat was sold outside Scotland, but Profitability in Scotland” is released in main lambing period in early 2013 means lower overall volumes and poor consumer 2010 2011 2012 the autumn and offers a detailed analysis that this increase in ewes used to produce confidence on mainland Europe resulted Prime cattle 466,811 460,205 402,636 of the financial state of Scottish farm lambs in 2013 will not result in increased in a reduction in sales outside of the UK. businesses. It identifies the most cost- lamb numbers in 2013. Meanwhile, the Cows and Bulls 56,980 63,572 77,608 Retail prices and consumption effective methods of production and market for lamb in late 2012 was adversely UK red meat consumption fell for a Lambs 1,450,994 1,489,800 1,338,745 shows the gap between producers at the affected by the volume and quality of second successive year during 2012, top end of efficiency and the bottom end. lambs reaching the market at that time. Ewes and Rams 23,822 30,134 24,834 with declines reported for all three The two-strong team also publish Pressure on pig producers’ species. The largest decline occurred Prime pigs 573,995 627,932 581,478 a twice-yearly review of the macro- margins continued to be reflected in in sheepmeat consumption which economic business operating environment the decline in sow numbers in June fell by 5%, as both production and Sows and Boars 416 952 2,091 facing the red meat sector. 2012. The closure of VION’s Scottish imports declined. Beef consumption fell pig abattoir in autumn 2012 created Livestock numbers 2.5% because the decline in domestic further challenges for Scottish pig There were some mixed results on livestock production was greater than the increase Scottish livestock average carcase weights (kg) producers, and sow numbers declined numbers within the June Agricultural in imports. Pigmeat consumption further in the second half of 2012. 2010 2011 2012 Census in 2012. While the number of showed the smallest decline at 1.5%. dairy cows was broadly unchanged, beef Livestock slaughterings With the general level of consumer Prime steers 378.2 373.9 376.5 cows numbers declined for the first time in and meat production income moving at a slower rate than the Prime heifers 328.1 325.1 327.1 three years while the number of breeding Some restructuring of the abattoir sector average retail price index during 2012, the ewes and sows continued to decline. took place during 2012 and continued high street became an increasingly difficult Prime young bulls 355.9 344.4 342.9 The December 2012 census confirmed into 2013. By the end of 2012, 26 licensed place to do business. It was even tougher the decline in breeding cows and sows red meat abattoirs operated in Scotland. for those selling red meat. At retail level, Cows 339.8 344.4 343.6 but offered the prospect of an end to Following this restructuring, particularly beef and pork prices moved faster during Lambs 20.2 20.2 20.3 the decline in breeding ewe numbers. the closure of the largest pig abattoir 2012 than the average retail price index. The suckler herd continues to in Scotland, direct employment among The retail price for lamb in contrast ended Ewes 30.0 33.0 32.6 account for some 71.5% of all breeding abattoirs fell below 4,000 people. 2012 lower than it started the year. Prime pigs 78.5 79.3 78.1 cows in Scotland. Nevertheless, the Falling breeding livestock numbers, The weak economy limited the ability change in cow numbers and the poor poor livestock growth rates, increased of processors to pass on their increased Sows 157.9 143.3 140.1 weather of much of 2012 resulted in a competition among GB processors and costs of raw material. For example, over small decline in calf registrations during abattoir restructuring combined to 2012 as a whole the retail price of beef

22 Quality Meat Scotland Annual Review 2012/13 23 OPERATING COST STATEMENT (for the year ended 31 March 2013) 2012–13 2011–12 Summary £ £ Income Statutory red meat levy 4,428,247 4,848,411 Financial Information for 2012/13 Consumer assurance scheme fees 1,403,730 1,351,869 Other income 1,052,011 905,250 6,883,988 7,105,530

Expenditure Staff employment and board costs 930,835 925,455 Depreciation 9,903 7,487 Other operating costs 6,249,866 6,380,295 7,190,604 7,313,237

Operating (deficit) / surplus (306,616) (207,707) The full Annual Report and Finance income 35,627 25,599 Accounts for the financial (Deficit) / surplus (270,989) (182,108) year ended 31 March 2013 is available on STATEMENT OF FINANCIAL POSITION (as at 31 March 2013) the QMS website at Non-current assets www.qmscotland.co.uk Property, plant and equipment 14,011 18,165 or by telephoning 0131 472 Current assets 4040 to request a copy. Inventories 4,297 5,566 Trade receivables and other current assets 1,238,539 1,281,822 Deposits and advances 1,000,000 1,000,000 pig industry and associated activities Financial results Income Cash and cash equivalents 746,700 740,069 QMS made an operating deficit, before During the year, QMS received £4.43m following the closure of Vion Halls; the bank interest, of £0.307m for the year to (2011/12 – £4.85m) in statutory red meat operation of 22 Business Improvement Total current assets 2,989,536 3,027,457 31 March 2013 (2012 – £0.208m deficit). levy, £1.40m (2011/12 – £1.35m) in Groups for the beef and lamb sectors Total assets 3,003,547 3,045,622 In 2010, the Board approved a £0.49m fees from consumer assurance schemes, to facilitate financial and performance contribution from QMS reserves to an £1.035m (2011/12 – £0.88m) in grants bench-marking; and a project to develop Current liabilities Integrated Measurement of Eating Quality and £0.05m (2011/12 – £0.05m) in bank industry infrastructure for pig health data Trade payables and other current liabilities 1,769,807 1,540,893 Project (IMEQ) in partnership with the interest and other miscellaneous income. sharing. The EU programme helped promote Total current liabilities 1,769,807 1,540,893 Scottish Government. The contribution QMS received 20 grants from the consumer awareness of quality schemes was scheduled over three financial years Scottish Government. Four of these for Scotch Beef PGI and Scotch Lamb Assets less liabilities 1,233,740 1,504,729 (2010/11–2012/13). The budgeted grants were received under the Marketing PGI. The previous EU programme ended operating deficit, before bank interest, of Development Scheme; three of these in September 2012 and a new approved Reserves £0.18m for 2012/13, reflected the QMS were used to assist with the continued programme commenced in October 2012. General reserve 1,233,740 1,504,729 contribution to the IMEQ project. The employment of Market Development Statutory red meat levy decrease in statutory levy income (£0.52m Managers in France, Benelux, Germany There was no change to the rates of against budget) led to a mid-year review and Nordic countries, and the other for STATEMENT OF ACCOUNTS SHOWING SOURCES OF INCOME statutory red meat levy collected in and reprioritisation of spending plans by the continued development of lamb AND AREAS OF EXPENDITURE (for the year ended 31 March 2013) Scotland for the year from 1 April 2012. the Board. It was agreed that expenditure markets in Italy. Other grants assisted with 2012–13 2011–12 would be reduced to compensate for Industry Development projects including: Levy Non Levy Total Levy Non Levy Total the shortfall in income and the use of Monitor Farm projects; the continued £ £ £ £ £ £ reserves was authorised to support key facilitation of a Business Network to improve Income areas of investment. The drawdown information sharing in the pigmeat supply Statutory red meat levy 4,428,247 0 4,428,247 4,848,411 0 4,848,411 from reserves amounted to £0.11m. chain; a strategic review of the Scottish Consumer assurance scheme fees 0 1,403,730 1,403,730 0 1,351,869 1,351,869 Grant income 0 1,035,421 1,035,421 0 880,071 880,071 Miscellaneous income 0 16,590 16,590 0 25,179 25,179 Bank interest 0 35,627 35,627 0 25,599 25,599 Levy Rates 4,428,247 2,491,368 6,919,615 4,848,411 2,282,718 7,131,129 Species Paid by Producer per Head Paid by Slaughter per Head Total Levy per Head Cattle 4.20 1.30 5.50 Direct expenditure Marketing and promotions 2,321,630 668,115 2,989,745 2,414,996 442,847 2,857,843 Calves (up to 68kg) 0.07 0.07 0.14 Industry development 1,018,264 383,896 1,402,160 1,244,204 458,438 1,702,642 Sheep 0.60 0.20 0.80 Communications and economics services 793,144 0 793,144 798,065 3,965 802,030 Assurance scheme operating costs 0 1,459,736 1,459,736 0 1,387,192 1,387,192 Pigs 1.02 0.24 1.26 Corporate services 510,192 35,627 545,819 537,930 25,600 563,530 4,643,230 2,547,374 7,190,604 4,995,195 2,318,042 7,313,237

(Deficit) on ordinary activities (214,983) (56,006) (270,989) (146,784) (35,324) (182,108)

24 Quality Meat Scotland Annual Review 2012/13 25 Committees (Membership at summer 2013)

The figure in brackets after each Committee indicates the number of meetings held each year.

Audit Committee (3) R&D Committee (4) Scottish Sheep Strategy Group (2) Auction Marts Assurance Standards Haulage Assurance Standards IMEQ Governing Committee (1) Alan McNaughton (Chair) ..QMS Board member Phil Thomas (Chair) ...... QMS Board member John Scott (Chair) ...... Farmer Setting Body (1) Setting Body (1) ’Uel Morton (Chair) ...... QMS Nia Ball ...... Scottish Government John Gregor (Chair) ...... Former QMS Board Keith Redpath (Chair) ...... Farmer Phil Thomas ...... QMS Board member Maimie Paterson ...... Farmer Charlotte Maltin ...... QMS Alan Craig ...... Consultant member/ IAAS Willie McCulloch ...... IAAS Derek Armstrong ...... Haulier Andy McGowan ...... QMS Ronnie Eunson ...... QMS Board member Robin Anderson ...... IAAS John Craig ...... QMS Board member, Martin Morgan ...... Scottish Government Carole Ingram ...... Farmer Andrew Wright ...... IAAS ’Uel Morton ...... QMS AK Stoddart Jack Clark ...... IAAS Bobby Davidson ...... Haulier Robert Parker ...... QMS Board Member Fenwick Jackson ...... Farmer Neil MacLeod ...... Crofter Tom Gatherer ...... Scottish SPCA Ronald Davidson ...... Haulier Phil Thomas ...... QMS Board Member Remuneration Committee (2) Bobby Lennox ...... Farmer Willie Morrison ...... Crofter Neil Leslie ...... Auction Mart TAC Chairman Phil Flanders ...... Road Haulage Association IMEQ Scientific Steering Andrew Peddie (Chair) ...... QMS Board member Kath Livesey ...... Farmer Richard Oates ...... Farmer Hamish Waugh ...... Farmer Scotland & NI Committee (4) Ronnie Eunson ...... QMS Board member Robert Parker ...... QMS Board member, Farmer Charlie Russell ...... Farmer Alex Wilson ...... IAAS Stewart Wood ...... Farmer Murray Hardy ...... SAMW Phil Thomas (Chair) ...... QMS Board member Jim McLaren ...... QMS Board member Kevin Wiggins ...... Farmer Andrew Wright ...... IAAS Michael Shannon ...... Farmer Andrew Kerr ...... SFQC Lead Assessor Robert Parker ...... QMS Board member, Farmer James Wylie ...... Farmer John Bell ...... Chairman C&S Tac. Farmer ’Uel Morton ...... QMS Willie Thomson ...... Food technology, Paul Anderson ...... Scottish SPCA Martin Morgan ...... Scottish Government Graeme Lofthouse ...... Farmer Pat Lawson ...... IAAS Database technology Gordon McKen ...... QMS Board member Nia Ball ...... Scottish Government Ronald Davidson ...... Livestock haulier Pig Forum (3) Gregor Ingram ...... Farmer Alex Brewster ...... Farmer Jim Murray ...... Independent academic Louise Prentice ...... SFQC Sandy Taylor ...... Haulier Gordon McKen (Chair) ...... QMS Board member Charlotte Maltin ...... QMS Roddy Macleod ...... Farmer Charlotte Maltin ...... QMS Robert Hamilton ...... (SFQC Scheme Assessor) Neil Walker ...... Haulier Sandy Howie ...... Farmer Scotch Beef Marketing Katie Keiley ...... Development Officer Billy Neilson ...... (SFQC Scheme Assessor) Richard White ...... Haulier QMS Eating Quality Committee (3) Christo Shepherd ...... Farmer Strategy Group (2) Michael Blanche ...... Development Officer Kathy Peebles ...... QMS Dan Cathcart ...... Haulage consultant Robert Parker (Chair) ...... QMS Board member Alan McNaughton (Chair) ..QMS Board member Kathy Peebles ...... QMS Andrew Peddie ...... QMS Board member Geordie Dun ...... Haulier Phil Thomas ...... QMS Board member Alistair Martin ...... Farmer Processors Assurance Standards Martin Morgan ...... Scottish Government Philip Sleigh ...... Chairman, John Bell ...... Farmer Cattle and Sheep Assurance Setting Body (1) Louise Prentice ...... SFQC Standards Setting Body (1) John Craig .....QMS Board member, AK Stoddart NFUS Pigs Working Group Malcohm Hetherington ...... Consultant John Craig (Chair) ...... QMS Board member, Kathy Peebles ...... QMS Kath Livesey ...... Farmer Johnny Mackey (Chair) ...... QMS Board member Alan Stannett ...... Farmer Lucy Husband ...... AK Stoddart AK Stoddart Pigs Assurance Standards Suzie England ...... Scotbeef Jim McLaren ...... QMS Chairman Wendy Barrie ....Consumer Issues Representative Jamie Chapman ...... SFMTA David Strachan ...... Vet Setting Body (1) Colin Clark ...... Farmer Isla Roebuck ...... Dawn Meats John Bell ...... Chairman C&S TAC, Farmer Malcohm Hetherington ...... Consultant Gordon McKen (Chair) ...... QMS Board member Peter Briggs ...... Tulip Ltd Jim Brown ...... Farmer Laurent Vernet ...... QMS John Craig ...... QMS Board member, David McLay ...... Lynch Quality Meats Roderick Bruce ...... Scottish Pig Producers Chris Campbell ...... Campbell Prime Meats Willie Thomson ...... Harbro Alan McNaughton ...... QMS Board member, Scotch Lamb Marketing Chairman QMS Processor SSB McIntosh Donald Hamish McIntosh ...... Scottish SPCA Louise Welsh ...... QMS Board member Jill Thomson ...... SAC Vet Strategy Group (2) Tom Gatherer ...... Scottish SPCA Carol Milne ...... AK Stoddart Mike McLaughlin ...... ARM Charlotte Maltin ...... QMS Louise Welsh (chair) ...... QMS Board member John Gregor ...... Former QMS Board member, David Whiteford ...... Farmer Colin Shaw ...... Scotlean Alan Craig ...... Consultant IAAS Andy McGowan ...... QMS Butchers Marketing Jonathan Whitehead ...... SFQC Christo Shepherd ...... Scottish Pig Producers Strategy Group (3) Rob Livesey .... Chair, NFUS Livestock Committee Scott Henderson ...... Farmer Feeds Assurance Standards Allan Ward ...... QMS Jonathan Whitehead ...... SFQC Henry Graham (Chair) ...... Former QMS Board George Milne ...... NSA Neil McLeod ...... Scottish Crofting Federation Setting Body (1) member Frank Clark ...... McIntosh Donald Stuart Smellie ...... LS Smellie Allan Ward ...... QMS Standards Coordinating Body (1) Alistair Martin ...... NFU Scotland Livestock Alex Christie ...... Butcher Jimmy Taylor ...... NFUS Livestock Committee Committee Martin Brown ...... BOCM Pauls Ltd Jim McLaren (Chair) ...... QMS Chairman Pig Forum Health Sub-Committee (3) Jonathan Crombie ...... Butcher Suzie England ...... Scotbeef Mark Goodwill ...... Harbro Ltd Hamish McBean ...... Farmer Grace Webster (Chair) ...... Vet John Davidson ...... Butcher John Craig ...... QMS Board member, Bryan Robb ...... Highland Glen Ian Henderson ...... Immediate Past Chairman, Alan McNaughton ...... QMS Board member, Roderick Bruce ...... Farmer Isobelanne Johnston ...... Consumer AK Stoddart John Sleigh ...... NFUS Livestock Committee AIC Scotland Feed Committee SAMW Executive Sybil McPherson ...... NSA Scotland Jamie Robertson ...... Livestock Management Duncan Fraser ...... Butcher Johnny Mackey ...... QMS Board member, Farmer Cliff Lister ...... AIC Legal & Scientific Affairs Jim Stewart ...... SBA Vice Chairman/ Farmer ...... Systems Suzie Carlaw ...... QMS Committee Nigel Ovens ...... Butcher John Gregor ...... Former QMS Board member, Sybil McPherson ...... Chairman NSA Scotland, Darragh Magee ...Dietetic Complementary Feeds Jill Thomson ...... SAC Veterinary Services, Katherine Green ...... Butcher Specially Selected Pork ANM Group Farmer Edinburgh Jack Broussine ...... QMS Marketing Strategy Group (2) Charlie MacLaren ...... Feed Merchant/Feeds TAC Stuart Smellie ...... AIC Scotland, Meg Donahoo ...... Vion Brydock Farms Division Gordon McKen ...... QMS Board member, Andrew Peddie (Chair) ...... QMS Board member Chairman Chairman QMS Feeds SSB Robin Traquair ...... Farmer Scottish Pig Producers Wayne Godfrey ...... Brown Brothers Colin Morgan ...... SAC QMS greatly values industry input to the work Frank Stephen ...... Secretary BVA Scotland Phil Thomas ...... QMS Board member Carla Gomes ...... SAC Veterinary Services, of our committees – please contact us if you are Keith Redpath ...... Farmer Barry Robertson ...... Robertson’s Fine Foods Jim McLaren ...... QMS Inverness interested in getting involved. Our committees are Alan Stannett ...... Farmer Ian Watson ...... Feed merchant representative Stuart Smellie ...... L S Smellie & Sons refreshed at regular intervals, and further information ’Uel Morton ...... QMS David Strachan ...... Boehringer Ingelheim Willie Thomson ...... Harbro Billy Davidson ...... Davidsons Bros on how they operate is available by emailing ’Uel Morton ...... QMS David Whiteford ...... Farmer Louise Prentice ...... SFQC Contracts Manager Louise Prentice ...... SFQC Sheila Voas ...... Scottish Government [email protected] or calling 0131 472 4040. Kathy Peebles ...... QMS Jack Broussine ...... QMS Kathy Peebles ...... QMS Kathy Peebles ...... QMS Andy McGowan ...... QMS

26 Quality Meat Scotland Annual Review 2012/13 27 Quality Meat Scotland The Rural Centre, Ingliston, Newbridge, Midlothian EH28 8NZ

0131 472 4040 [email protected] www.qmscotland.co.uk © Quality Meat Scotland September 2013

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