WHEN Department of Agriculture and Fisheries Agri-Science Queensland executive director Dr Wayne Hall took to the podium at the North Australia Beef Research Update Conference in Rockhampton this week, he had an important question to answer.
Is the cattle industry’s research and development (R&D) moving fast enough, and is it producing satisfactory results?
Dr Hall said the issue is not black and white, and he regularly gets feedback from either end of the spectrum from producers.
“Producers will say to me that all the R&D is doing is enabling us to produce more beef more cheaply, and it’s driving prices down,” Dr Hall said.
“There is evidence that we need to be doing more with R&D.”
He said in particular, the northern Australian beef industry was already struggling – with farm debt going up by two per cent each year while incomes continued to fall.
“On average it’s not until you have more than 1600 head of cattle that you start to see a profit on assets managed,” he said.
“The northern beef industry as a whole is struggling in terms of long-term financial performance and viability.
“It’s great at the moment if you can make the most of it, if you have cattle to sell, but I think we really need to improve as a whole.”
Dr Hall said the beef industry needed to remain competitive not just within itself, but when coming up against other protein industries.
“In Australia with beef and veal consumption… there’s been a steady decline, about a third (decline) from 130kg to 85kg per person consumed each year,” he said.
“In poultry in that same period of time - it’s (consumption) greater than doubled.
“Most people understand what has been driving that - it’s pretty straight forward. If you look at poultry prices - there’s been no increase in poultry prices in ten years in Australia.
“When you compare that to what has happened with beef - there has been a much higher increase… prices of beef have increased dramatically.
“It’s great that we’re getting those prices - but my concern is what is that doing to buyer behaviour? Will they come back to beef when it’s cheaper?”
Dr Hall said R&D is vital to the industry, but said greater care needs to be taken when selecting which research to conduct.
“Is R&D having an impact? There have been almost no improvement in branding rates in the last thirty years,” he said.
“There is very little recording of reproductive improvements.
“There is little or no evidence of improvement in the live weight gain performance of cattle over the 41 year period, from 1959-2000.”
However, he said there have been improvements in the industry due to efficiency gains.
“Things like heavier slaughters weights, increases in growth rates in grassfed cattle, improved survival rates and greater numbers of cattle being finishing on grain are being seen,” he said.
But the research needs to continue.
“We do live in a world where R&D money is declining,” Dr Hall said.
“Adoption is a key component of all R&D discussions and investment programs, and outcomes must be accompanied by robust cost benefit analysis.
“When approaching research, we need to think to ourselves, if this is successful, what impact is going to have?
“If it’s just a journal report, or if limited people are likely to adopt it - why are we using vital funds for it? Those funds must go to the top priority research.”
Kelly Butterworth
Rockhampton-based journalist covering all things ag.
Rockhampton-based journalist covering all things ag.
