Your levies at work // June 2014 Peak performance 21// Pushing production with pasture 06// Emerging global food trends 08// Aussie, Aussie, Aussie! New global brand for beef, lamb and goat 15// Lessons learned The benefits of producer education 26// Facing up to the situation An analysis of the northern beef industry Feedback: Your levies at work June 2014 A note from the Chair... n behalf of the Board, I am pleased to announce Richard Norton has been appointed as MLA’s new Managing Director, commencing Monday 2 June. OAfter an extensive executive search, we believe Richard is ideally placed to lead MLA. His proven experience in leading change and continuous improvement within a corporate environment positions him well for the Managing Director role. Richard’s previous roles include Managing Director of Landmark, and senior positions at Wesfarmers Dalgety, Toll Holdings, Woolworths and Coca Cola. He brings experience and knowledge of global agricultural retail supply chains as well as agricultural marketing and production systems. The Board and I look forward to working with Richard as he builds on the work of MLA to invest in marketing and R&D, to create opportunities to add value to your business. As always the Board and I welcome any thoughts and feedback you may have, as we work to ensure the investments we make on your behalf are as effective as possible, and in the right areas. Dr Michele Allan MLA Chair [email protected] Feedback is produced and Contents published by Meat & Livestock Australia Ltd (ABN 39 081 678 364). The magazine is free to MLA Up-FRONT 26 Increased production = increased members and available on subscription to non-MLA members 03 Profit drivers pinpointed profit in the north at an annual rate of $100 (including 03 Still on top of the Challenge 06 27 Practical steps for business success GST) within Australia and $150 overseas. IN-BRIEF Global food 28 Aiming for efficiency all round trends GROWING DEMAND MLA acknowledges the matching 04 Online parasites funds provided by the Australian 04 Ones to watch 30 Taking in the view from Dubai Government to support the 05 From the big smoke to the bush 31 Hospitable trends in the research and development detailed Middle East in this publication. INSIGHT 08 Aussie, Aussie, 32 Meat and movement for muscle Feedback Reply Paid 906, Locked 06 The premium sales pitch Bag 991, North Sydney NSW 2059 33 Recipe: Vietnamese grilled 08 Aussie, Aussie, Aussie; beef, lamb, goat! Aussie! E: [email protected] beef salad T: 1800 023 100 // F: 02 9463 9393 10 In profile: Lorraine Elliott www.mla.com.au MARKETS COMMUNITY 34 Around the globe This magazine was printed on Sumo 11 We are the (farming) champions 15 Offset Laser, an environmentally Lessons 35 On the ground: Indonesia responsible paper manufactured INDUSTRY 36 Market observations under the environmental learned management system ISO 14001 12 Enhancing MSA 36 Sheepmeat future looks bright using Elemental Chlorine Free (ECF) 13 The index at work pulp sourced from sustainable IN THE FIELD forests. Sumo Offset Laser is FSC ON-FARM 38 Past and upcoming events Chain of Custody (CoC) certified 26 (mixed sources). 14 Putting on some beef Analysis of 18 Tending the flock Disclaimer: The views expressed in northern beef Feedback are not necessarily those of 20 Forage for thought MLA, its employees or agents. Feedback industry content is provided as information not as 21 Pushing production with pasture advice and you should make your own 22 A high-output field day enquiries before making decisions concerning your interests. All material in 24 Dual-purpose crops pass first test Feedback is copyright. Reproduction of the material is encouraged, however due Cover: David Thornberry, Manager of ‘Gordon Downs’, Emerald, Queensland. Image by Paula Heelan. acknowledgement to Feedback is required. 03 Up-front Profit drivers MLA Challenge leader board – pinpointed third quarter The economic sustainability of Australia’s beef and prime lamb 1. Andrew and Megan Miller industries has been analysed in three new reports funded by MLA, 2. John and Annie Ramsay providing insights into both the major challenges and the wide ranging opportunities for each sector. 3. Marcus and Shannon Sounness 4. Matthew and Angela Pearce he reports investigated the The economic snapshot of Australia’s drivers of on-farm economic beef and lamb industries considered 5. Bill and Georgia Wilson Tperformance in the northern herd/flock size, region and markets 6. Lachlan and Anna Hughes and southern beef and prime lamb from 2001 to 2012, providing a industries (table 1). follow-up to the original situation The analysis also provided some analysis reports from 2009-10. practical recommendations to help In this edition, Feedback explores the Still on top of the overcome the challenges. These were detailed findings of the northern beef identified through an investigation situation analysis on pages 26–29. Challenge into how top producers operate for Reports on southern beef and prime long term profitability and economic lamb will be covered in future editions. For the second successive quarter, Queensland sustainability. producers Andrew and Megan Miller were named leaders in the MLA Challenge. Table 1 Key findings from situation analyses he Windorah cattle producers were judged the Northern beef Southern beef Prime lamb third quarter winners due to their decision to State of play The majority of There is a sense of Sheep enterprises Twean early, resulting in greatly improved northern beef huge opportunity are currently condition in their cows for joining, which will hopefully businesses are in the southern enjoying superior lead to an additional 60 calves on the ground. economically beef sector despite average In spite of drought conditions, the Millers also added unsustainable due, lower profitability profitability, $116/head to the value of the feedlotted steers following in large, to a per hectare compared to beef detailed planning and assessment of starting and growing debt compared to other and dryland finishing values, feed prices and daily weight gain. burden. But profits enterprises. cropping, mainly “The difference, now that we are part of the MLA remain steady Long-term beef due to optimising Challenge, is that we’re improving the skills we require despite lower enterprise profits production per to farm in an extremely variable climate,” Andrew said. prices on average are lagging behind hectare. in the past 12 years. lamb and crop “We are making informed decisions after finding the enterprises, but information we need, talking each major decision still exceed wool. through with our mentor and then committing to it. We The sector is feel in control, able to consider our options and make making gains with choices, even when the conditions are unfavourable.” labour efficiency. All six participating producers have seen improvements Opportunities • Increase • Optimise • Production per in their business since joining the MLA Challenge, which to improve reproductive rates stocking rate DSE, in particular has focused on improving their management skills and using tools and evidence as the basis for decision making. • Reduce mortality • Optimise age and growth rate rates weight at sale to sale MLA’s General Manager Livestock Production Innovation, Peter Vaughan, said the third quarter had seen each of • Heavier sale • Reduce cost of • Firm control over the families make the most of the information, tools weights production costs, particularly labour and resources available to them, along with the advice • Lower operating of their mentors, to plan and make business decisions. expenses, largely “The Challengers are really appreciating that, while they through better have little influence on the end prices, they do have labour efficiency significant scope for reducing their production costs,” The three situation analysis reports are available for download: he said. Northern beef situation analysis www.mla.com.au/nthbeefsituationanalysis Southern beef situation analysis www.mla.com.au/sthbeefsituationanalysis www.mla.com.au/challenge Prime lamb situation analysis www.mla.com.au/lambsituationanalysis 04 In-brief Ones to watch et inspired by the decisions sheep producer Peter Holding is making by watching MLA’s Glatest producer video. Peter is responding to climate extremes by making bold changes on his cropping and sheep properties at Harden, NSW – including the move to an indoor shedding system to finish his lambs with consistency. Peter also shares the climate tools he uses to help Online him respond to climate variability, monitor moisture parasites and avoid temperature shock. www.mla.com.au/holding-climatevideo new livestock industry Check out MLA’s other recent producer videos: A e-textbook has been produced with Telemetry passes the test Shelter me funding from MLA. Cattle and sheep producer Eric Harvey shares the See how sheep producer Tim Currie has integrated hedgerows at his Casterton, Victoria, property to Australasian Animal set up and monitoring of his telemetry system. enhance lamb survival. EverGraze researcher Anita Parasites Inside & Out Mark Gardner explains the findings and labour Morant outlines how to establish hedgerows. 2014 is produced by saving benefits from the MLA-funded Producer www.mla.com.au/hedgerows Australian and New Demonstration Site which used telemetry in hilly Zealand parasitologists country in Geurie, NSW. and published by the www.mla.com.au/telemetrypds Australian Society for Parasitology. Developed as a teaching resource and reference for the Australian and Asian regions, the text Putting summer-sown legumes to the test Western Australia cattle and sheep producer Simon provides insights, Raising the bar with barley Stead outlines the benefits of summer sowing management and Sheep producer Darren Barker and researcher Garry hard-seeded legumes and researcher Brad Nutt control techniques Armstrong discuss the benefits of growing Moby shares the golden rules for their establishment. for endo- and barley as a feed gap filler at Nullawil, Victoria.