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Sheepmeat Council : Sheepmeat 2012
FOR SIMPLE EFFECTIVE FOX CONTROL www.animalcontrol.com.au 03 9308 9688 Excellence in Pest Animal Management Sheep are your buSineSS ASK US HOW FOXES KILL 30% OF LAMBS Do nothing and LOSE $$$ THOUSANDS in lost lamb production or Spend $150* on FOXOFF® Protect your investment! *Based on a typical program on 500Ha’s up to marketing approaches targeting the younger generation and see the growing availability of value added lamb products on the supermarket shelves. Both marketing approaches I believe are valid for our domestic market and the value added products may boost sales in export markets. This market has seen high prices in the last 2 years resulting in consumer resistance and a significant decline in demand. The flow through is a decline in retail sales (80% of lamb in the UK is sold at retail) and also food service (mainly pubs) not putting lamb on the menus and hence a decline in lamb consumption and demand. In the UK it’s also becoming common to sell lamb on promotion- 40% of lamb sales last year. In light of the recent Australian supermarkets campaign of cheap lamb; we can certainly learn from the UK experience. While this strategy moves volumes and gets lamb on the dinner plate, it also places pressure on the image of lamb sold at full price. In addition, the sales drastically drop off after the offer closes and the demand for lamb remains low for many weeks afterwards – the impact being felt down the chain. Unfortunately the UK retailers are likely to remain fiercely competitive and will continue with robust promotional plans which will include lamb. I also observed in the UK that those lamb producers who were able to align with the supermarket chains by providing bespoke services and promote attributes around their product were able to establish more than just a price relationship with the end user. Supermarket driven Farm Assurance and Producer Groups were part of this network. So far, the conclusions I have drawn from my study include; that it’s very important for our industry to (1) differentiate our lamb product by ensuring high eating quality and (2) ensure better industry feedback on market requirements so we can strictly meet target carcass fatness and weight specifications. If we were to ask the average consumer why they are willing to pay up to 30% more for our lamb product compared to our competitors beef and chicken- we must make sure they have an answer! Kelly Manton-Pearce 2012 Nuffield Scholarship Recipient