Co-product market report

Transcription

1 Co-product market report February 2019 mla.com.au

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3 Beef Co-products Beef offal prices were weaker for most items, with demand softer and the Australian dollar steady against the US dollar. Halal omasum rallied, as did rumen pillars and halal tails, whilst other white offals performed poorly. Cheek meat was also under pressure. Table 1: Beef co-product prices Average (Jan Data) Range Responses Monthly Change Annual Change Beef Lips $2.88 $ % -13.9% Beef Lips - Halal $3.36 $ % -12.4% Cheekmeat $4.71 $ % -22.3% Cheekmeat - Halal $4.59 $ % -20.5% Diap. Membrane $3.15 $ % -10.6% Hc Tripe $5.91 $ % -3.9% Hc Tripe - Halal $6.20 $ % -10.6% Headmeat $ % 3.9% Headmeat - Halal $ % 0.0% Heart $1.97 $ % 11.3% Heart - Halal $2.45 $ % 20.0% Heart - Aorta $ % 6.5% Heart - Aorta - Halal $7.07 $ % 9.6% Kidneys $0.83 $ % -21.0% Kidneys- Halal $0.85 $ % -22.1% Ligamentum $2.76 $ % -29.8% Liver $0.94 $ % -11.0% Liver - Halal $1.10 $ % -13.6% Lungs - Halal $1.21 $ % -36.6% Omasum $6.15 $ % 10.8% Omasum - Halal $7.28 $ % 33.1% Rum.Pill - Halal < 500 $ % 26.8% Rum.Pill - Halal > 500 < 700 $ % 42.0% Rum.Pill - Halal > 700 $ % 19.1% Rum.Pill < 500 $ % 22.0% Rum.Pill > 500 < 700 $ % 38.8% Rum.Pill > 700 $ % 24.3% Tail $9.23 $ % 4.0% Tail - Halal $9.71 $ % 9.6% Tendons $6.40 $ % -5.9% Tendons - Halal $6.18 $ % -9.7% Thickskirt $6.83 $ % 19.5% Thickskirt - Halal $6.83 $ % 22.0% Thinskirt $6.25 $ % 10.4% Thinskirt - Halal $6.27 $ % 16.0% Tongue Root Fillet $ % 4.6% Tongue Root Meat $2.23 $ % -1.5% Tongue Root Meat - Halal $2.38 $ % 2.7% Tongue SW $8.70 $ % -5.8% Tongue SW - Halal $9.10 $ % -10.1% Tripe Pieces $3.12 $ % -2.6% Price quoted is average price reported in Australian port. Page 3

4 Head offal Prices for head offal products were softer this month. Head meat eased to average $4.00/kg, which was 15 / kg higher year-on-year, but 15 /kg below last month s price. Cheek meat was $1.36/kg cheaper than year-ago levels, averaging $4.71/kg, and was $1.15/kg lower than last month. Lip export prices to the US and Mexico were weaker, averaging $2.88/kg, down 35 /kg month-on-month and 47 /kg weaker year-on-year. Halal lips firmed slightly, averaging $3.36/kg, up 6 /kg compared to last month, but 47 /kg softer year-on-year. Figure 1: Trends in beef head offal prices Beef Lips Cheek Meat Head Meat Beef Lips - Halal Beef offal trends Omasum averaged $6.15/kg, down 33 /kg on last month, but 60 /kg above year-ago levels. Halal omasum averaged $7.28/kg, up $1.81/kg year-on-year and firmer by $1.23/kg compared to last month. Halal tripe pieces averaged $3.39/kg, down 58 /kg month-on-month but 16 /kg higher year-on-year. Non-halal product averaged $3.12/kg, which was 12 /kg below last month and 8 /kg softer than last year. Honeycomb tripe fell 87 /kg month-on-month and 24 /kg down year-on-year, averaging $5.91/kg. Figure 2: Trends in beef tripe prices HC Tripe Omasum Tripe PCS Omasum - Halal Tripe PCS - Halal Page 4

5 Beef offal trends continued... Aorta averaged $7.10/kg for the month; which was 15 /kg lower month-on-month, but 43 /kg above year-ago levels. Heart prices were 13 /kg lower than last month, but 20 /kg above year-ago levels, averaging $1.97/kg. Halal hearts averaged $2.45/kg, firming 5 /kg month-on-month and 41 /kg stronger year-on-year. Figure 3: Trends in beef offal prices Heart Heart - Aorta Heart - Halal Kidneys were reported at an average of 83 /kg, up 8 /kg across the month, and 22 /kg softer year-on-year. Non-halal lungs were reported at $1.00/kg, down 10 /kg month-on-month and 78 /kg below last year. Figure 4: Trends in beef offal prices Kidneys Lungs Lungs - Halal Page 5

6 Beef offal trends continued... Liver prices averaged 94 /kg, easing 7 /kg month-on-month and 11 /kg below year-ago levels. Halal livers were even month-on-month, but were 17 /kg softer year-on-year, with quotes averaging $1.10/kg. Figure 5: Trends in beef offal prices Liver Liver - Halal Japanese and Korean Offals Tongue prices averaged $8.70/kg, down 68 /kg month-on-month and 53 /kg below year ago levels. Thick skirt was down $1.12/kg year-on-year and 21 /kg lower month-on-month, averaging $6.83/kg. Thin skirt was 99 /kg below last month, but 59 /kg higher year-on-year, averaging $6.25/kg. Rumen pillars rallied again, with heavy weight product averaging $21.85/kg, up 97 /kg month-on-month and $4.75/kg dearer than year-ago levels. Figure 6: Trends in Japanese offal prices Rum Pillars > 700 Thickskirt Thinskirt Tongue SW Page 6

7 Tails and Tendons Tail prices to Korea were easier month-on-month to average $9.23/kg, which was 36 /kg below year-ago levels and 61 /kg softer month-on-month. Halal tails firmed 38 /kg month-on-month and were 85 /kg higher year-onyear, to average $9.71/kg. Tendons averaged $6.40/kg. Figure 7: Trends in tail and tendon prices Tail Tendon Tail -Halal Sheep Co-products Sheep offal prices showed mixed results, with kidneys and tripe easing while runners were steady. Table 2: Sheep co-product prices Average (Jan Data) Range Responses Monthly Change Annual Change Heart Sheep - Halal $2.60 $ % 2.5% Kidneys Sheep - Halal $4.40 $ % 51.3% Liver Sheep - Halal $1.67 $ % 44.0% Runners Lamb $4.20 $ % -34.0% Runners Sheep $2.00 $ % -57.0% Tongue LC Sheep - Halal $4.20 $ % -4.5% Tripe Sheep - Halal $3.70 $ % -19.9% Price quoted is average price reported in Australian port and runners as $/piece. Page 7

8 Sheep offal Sheep hearts averaged $2.60/kg, up 7 /kg month-on-month and 6 /kg dearer than year-ago levels. Kidneys were softer at $4.40/kg, an increase of $1.49/kg over year ago levels, but 70 /kg down month-onmonth. Sheep tripe was reported at $3.70/kg this month, down 27 /kg month-on-month and 92 /kg down on last year prices. Long cut tongues averaged $4.20/kg, 20 /kg easier year-on-year and steady compared to last month. Figure 8: Trends in sheep offal prices Sheep Heart Sheep Kidney Sheep Tripe Sheep Liver Sheep Tongue LC Both lamb and sheep runners have been under pressure, with excess product in the European market making product hard to sell. Lamb runners were reported at $4.20/piece and sheep runners at $2.00/piece. Figure 9: Trends in runner prices $ piece Lamb Runners Sheep Runners Page 8

9 Pharmaceutical products Pharmaceutical products were steady. Table 3: Pharmaceutical prices Average (Jan Data) Range Responses Monthly Change Annual Change Foetal Blood $ % 23.7% Price quoted is average price reported in Australian port and foetal blood $/litre EXW Foetal calf blood into Europe averaged $400/litre, where it has been hovering for some time. Figure 10: Trends for foetal blood prices $/litre EXW Concentrated gall was not reported. Figure 11: Trends for concentrated gall prices $/kg EXW Page 9

10 Rendered products Rendered meals were steady across the board. Table 4: Rendered product prices Average (Jan Data) Range Responses Monthly Change Annual Change Bloodmeal 85 $ $ % 0.1% MBM 50 $ $ % -4.6% Tallow Ined.<1FFA $ % -9.3% Tallow Ined.<4FFA $ % -8.2% Price quoted is average price reported ex works$/tonne. The price for 50% protein MBM averaged $530/tonne, up $6/tonne month-on-month, but $26/tonne lower year-on-year. Blood meal averaged $972.50/tonne, to be 50 /tonne up on last year s price, but $7.50/tonne softer month-on-month. Tallow prices firmed slightly, with the price for 1% FFA tallow averaging $705/tonne, up $11/tonne on last month s price but $73/tonne below year-ago prices. However, tallow remains at a premium to palm stearin, due to demand from Singapore, China and the USA. Figure 12: Trends in rendered co-product prices $/tonne EXW Blood Meal 85 MBM 50 Tallow <1% FFA Page 10

11 Hides The hide market continues to endure a very subdued market. Inventory continues to build, with no improvement in prices expected in the short term. Prices are very depressed, with buyers able to pick a price point. Table 5: Hide prices Average (Jan Data) Range Responses Monthly Change Annual Change Hides NSW $ % -82.9% Hides NSW $ % -77.6% Hides NSW $ % -71.9% Hides NSW $ % -65.0% Hides NSW 351 Up $ % -58.3% Hides QLD TFA $ % -80.7% Hides QLD TFA $ % -81.8% Hides QLD TFA $10.00 $ % -74.4% Hides QLD TFA 351 Up $13.67 $ % -71.8% Hides QLD Ticky $ % -72.1% Hides QLD Ticky 350 Up $ % -66.9% Hides VIC $ % -70.8% Hides VIC $ % -66.1% Hides VIC $ % -63.5% Hides VIC $ % -57.8% Hides VIC 351 Up $ % -52.1% Price quoted is average price reported for ex works $/each. Local prices for hides were steady compared to last month across the market, with a slight rally on heavy lower grade hides. Figure 13: Trends in hide prices (East Coast Ex Works) NSW Hides Vic Hides Qld TFA Hides Qld Ticky Hides Page 11

12 Currency exchange The Australian dollar firmed against the US dollar after a faltering start in early January. The $A opened the month at 70.20US and closed at 72.68US, to average 71.44US for the month, which was 0.42US below last month s average. Figure 14: AUD /USD Foriegn Exchange AUD/USD Source: Reserve Bank Australia Export statistics To access the latest co-products statistics please click here: For more information: Please call Penny Graham on or pgraham@mla.com.au This report is produced from a monthly MLA survey of approximately 25 processors across Australia, collating average prices and analysing trends on a range of co-products items Market Information Meat & Livestock Australia Ph: Fax: marketinfo@mla.com.au Published by Meat & Livestock Australia Limited ABN February 2019 Meat & Livestock Australia Limited 2017 MLA makes no representations as to the accuracy of any information or advice contained in this publication and excludes all liability, whether in contract, tort (including negligence or breach of statutory duty) or otherwise as a result of reliance by any person on such information or advice. Free to MLA members Terms and Conditions Page 12