In this file:

 

·         American beef will compete with Australian exports as the Chinese market opens up

Australian beef will compete with American exports as the Chinese market opens up to the US, for the first time in 13 years…

 

·         China’s live export infrastructure development in overdrive

Infrastructure development is happening at breakneck pace in China, as the country readies itself for an anticipated start to commercially-significant volumes of live cattle exports out of Australia…

 

·         China calls for lamb, cattle

… Gina Rinehart has kicked off early negotiations that would eventually see around 800,000 live cattle exported annually to China...

 

 

American beef will compete with Australian exports as the Chinese market opens up

 

By Sarina Locke, ABC Rural (Australia)

May 17, 2017

 

Australian beef will compete with American exports as the Chinese market opens up to the US, for the first time in 13 years.

 

The deal is expected to be finalised in mid July.

 

Rabobank said Australia had an advantage because it had already been providing beef free of hormone growth promotants (HGP) and with full traceability of the life of the cattle.

 

At the moment, American hormone free, organic beef sells for a premium on the domestic market.

 

"The Chinese consumer has to pay at least that premium to attract it away from that current market," said Rabobank's senior protein analyst Angus Gidley-Baird.

 

Australia recently signed a unique deal with China for greater access for chilled beef, favoured for the premium end of the market.

 

But Australian exporters will still have to compete with similar products out of the US, at some point.

 

Mr Gidley-Bird said since the height of 2015 when $1 billion worth of Australian beef was sent to China, the market was worth $670 million in 2016, and it was facing increasing cheaper competition from South America.

 

"US product is probably a lot more consistent with Australian premium higher quality beef, more so than Brazilian and South American beef."

 

Rabobank said the US was growing its exports, 2 per cent higher than last year, as a result of the bigger since the drought.

 

US anxious to get back in China ...

 

Cattle ranchers anxious to resume exports ...

 

more

http://www.abc.net.au/news/rural/2017-05-17/us-beef-to-compete-with-australian-product-in-china/8532936

 

 

China’s live export infrastructure development in overdrive

 

by Jon Condon, Beef Central (Australia)

18 May 2017

 

INFRASTRUCTURE development is happening at breakneck pace in China, as the country readies itself for an anticipated start to commercially-significant volumes of live cattle exports out of Australia.

 

That is the distinct impression being left with a primary producer study tour visiting China this week, organised by NAB Agribusiness.

 

The group of 24 Australian primary producers, including a strong beef contingent, yesterday made one of the first official visits to a new quarantine facility being built at Zhoufhan Island near Ningbo, south of Shanghai by New Hope Group – recently aligned with Gina Rinehart’s ambitious new Hancock Pastoral live export venture (see Beef Central’s earlier report).

 

One of the beef producers on the tour is John Manchee, from Manchee Agriculture near Narrabri in NSW. Beef Central managed to track John down for a talk yesterday afternoon, while in transit between tour destinations. He said there was a clear sense of anticipation among Chinese contacts over the looming prospect of access to large volumes of cattle from Australia.

 

“New Hope Group and its partners are determined to complete this extensive new quarantine facility as quickly as they can, and plan to have it up and running by early next year,” he said.

 

“They told us they want to have cattle imported by 2018.”

 

“It’s a massive expansion, driven by huge funding to get this going between Australia and China. They are very focussed on that relationship, and their long-term view is very positive. The group plans to spend something like $2 billion on infrastructure development over the next 20 years, mostly on processing infrastructure and livestock holding facilities, rather than feedlots.”

 

The tour is providing an interesting progress ‘yardstick’ for Mr Manchee, who visited China 15 years ago as part of a Shorthorn Society  delegation, when the country’s beef industry and imported beef demand was in its infancy.

 

He’s noticed massive changes since his previous visit in 2002.

 

The tour group also yesterday inspected a processing facility operated by China’s WH Foods, which left a clear impression about just how far processing infrastructure has come in the country.

 

WH Foods is a subsidiary of the Chinese Shuanghui Group, which bought the massive US pork processing business, Smithfield Foods in 2014. The WH group is now the world’s largest pork producer, and has poured enormous resources into its meat processing facilities.

 

“The standard of their processing plants, if this is any indication, have just improved out of sight,” Mr Manchee said. “They have introduced a lot of new technology from Germany and elsewhere overseas, and radically lifted the hygiene and efficiency standards of the plants.”

 

“It was quite clear that the WH Foods company has plans to become the number one beef producer in the world, also, if it can do so. They want to double the kill at the facility we saw. The demand for beef seems to be huge, everywhere we went.”

 

Other visits made...

 

Relationships matter in an ever-changing China ...

 

more

https://www.beefcentral.com/trade/chinas-live-export-infrastructure-development-in-overdrive/

 

 

China calls for lamb, cattle

 

Rueben Hale and Jenne Brammer, The West Australian

17 May 2017

 

WA’s biggest meat processor, V&V Walsh, plans to have the first shipments of its chilled young lamb product airfreighted into China in June this year.

 

The shipments will be the fulfilment of a dream for V&V Walsh brothers, Peter and Greg Walsh, since being granted unprecedented access to the market in 2015. Since then, they have been working with their import partners to trial their chilled lamb product with Chinese consumers.

 

The processor has a unique export licence to China for chilled lamb and beef, the only one of its kind in Australia, with growing demand from the developing market expected to result in the need to expand its Bunbury processing facility.

 

Peter Walsh said the first shipment would be part of an official launch of the Amelia Park-branded chilled lamb product to that market.

 

“We have been sending chilled samples to our customers since getting our licence and the feedback we’ve received is that the tenderness and milder taste of our young lambs are extremely popular in our target markets in China,” he said.

 

Mr Walsh said there were further plans to promote WA lamb, with a series of Amelia Park-branded chilled lamb launches in Beijing and Shanghai later in June.

 

“It’s a fairly packed schedule, as we will also be returning to China in October to follow up with customers and visit Shandong and Harbin as potential markets,” he said.

 

Mr Walsh said New Zealand’s recent granting of access to the Chinese market would also be a “a shot in the arm” for the chilled trade.

 

“New Zealand’s contribution to the market will increase the total volume of lamb coming out of the region, which is currently worth millions of dollars per annum to the industry,” he said.

 

“With the prospect of increased market access and trade, our importers have responded by making unprecedented investment into the cold chain to enable them to carry stock for their customers.

 

“The flow-on effect, we hope, will be that the combined high-quality Australian and New Zealand lamb and beef exported to China will add value and, in turn, price stability for our producers, which will encourage more farmers back into livestock.”

 

Meanwhile, Gina Rinehart has kicked off early negotiations that would eventually see around 800,000 live cattle exported annually to China...

 

more

https://thewest.com.au/countryman/livestock/china-calls-for-lamb-cattle-ng-b88477286z