Australia’s depleted cattle herd might be showing early signs of rebuilding, with beef production and export volumes posting an increase in recent months, according to Rabobank’s latest Beef Quarterly report.
Rabobank senior animal proteins analyst Angus Gidley-Baird said that after nearly two years of decline, the increase in production and exports suggested Australia’s beef sector was recovering.
But Mr Gidley-Baird questioned how long it would take for Australia to increase production to rebuild its presence and competitiveness in global markets, saying it could take five years to return to 29 million head.
Mr Gidley-Baird said dry seasonal conditions across much of Australia would limit Australia’s ability to rapidly increase production, and a more gradual increase into global markets was expected.
But he said the 11 per cent year-on-year production increase in June, this year, followed by a 20 per cent rise in July, as well rises in beef exports, were positive signs.