AGRIBUSINESS TODAY 2012 Profitable Beef in a challenging Future What type of beef is needed A Processors Perspective
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1 AGRIBUSINESS TODAY 2012 Profitable Beef in a challenging Future What type of beef is needed A Processors Perspective Grant Garey, General Manager Feedlots Teys Australia
2 Outline Teys Australia Our Values Our Direction Thoughts about the beef industry What type of cattle do we need
3 Teys Australia A 50/50 partnership between the Teys family and Cargill Combining the best of Teys and Cargill to become a leader in the global industry Our plants have ideal geographic spread We have the opportunity to build a truly excellent company that adds real value to our customers, suppliers and our employees.
4 Northern Territory Cattle Region - Cattle Population - Grain Western Australia Queensland Rockhampton / Biloela Murgon (Leather) Condamine (Feedlot) South Australia New South Wales Brisbane / Beenleigh Tamworth Naracoorte Victoria Tasmania Jindalee (Feedlot) Wagga Wagga - Domestic market access
5 Cattle Processing Daily Capacity Beenleigh 1375 Rockhampton 1603 Naracoorte 730 Biloela 710 Wagga Wagga 1250 Tamworth 840 (Woolworths) Daily Total 6508 (or approx 1.5 million head per annum)
6 Teys other businesses Cattle Feedlots at Condamine (30,000 head) and Jindalee, Temora (17,000 head) Teys Australia Food Solutions- value added/portioned meat products Teys Australia Murgon- cattle hide processing Teys USA Inc Interest in wholesale operations in Brisbane, Melbourne and Adelaide
7 Teys Employment Approx 4,200 people across the business Diverse workforce Projects on Talent retention and engagement (from Cargill) Teys graduate program- our future leaders
8 Our Values Honesty, integrity, loyalty, leadership and humility A deal is a deal with Teys- we stand by our word Prompt payment will not be compromised
9 Teys Australia Direction Partnerships with key collaborative customers and suppliers-this means aligned supply chains Focus on Meat Standards Australia (maximising value for the supply chain) EU grass and grain Development of a integrated branding strategy
10 Thoughts about the beef industry.. The future of the industry remains bright. Demand for beef will continue to grow (as populations and incomes rise) Two speed economy, high AUD will change what we make and where we sell it Poor state of key developed economies means a focus on new and emerging markets The key issue for Australia is that we remain a competitive supplier (rising costs)
11 Two key factors drive consumption Growth in world population Growth in world GDP 10 billions US$ (trillions)
12 Population growth will be in Asia
13 Global GDP growth will also be in Asia Distribution of additional world GDP (next 10 years) 8% 19% 43% 21% 9%
14 Forecast growth in beef consumption Total growth 14.2 million tonnes cwt (24%) Due to population & income growth alone (no price change) Weeks Consulting Services Pty Ltd
15 So What type of Beef is needed? MSA Retail & Food service Grassfed - Food Service & Retail Export & Domestic Grainfed Food Service & Retail Export & Domestic Manufacturing Export & Domestic EU Grain & Grass
16 MSA Sex: Steers & Heifers HSCW: kg Dentition: 0-2 Fat: 6-22mm Boning Group: 1-8 Feeding: Grassfed or Supplementary Fed Location: Wagga/Tamworth/Naracoorte/Beenleigh/Biloela & Rockhampton
17 Grassfed Sex: Steers & Heifers HSCW: kg Dentition: 0-8 Fat: 6-22mm Feeding: Grassfed or Supplementary Fed Location: Wagga/Naracoorte/Beenleigh/Biloela/Rockhampton
18 Grainfed Sex: Steers & Heifers HSCW: kg Dentition: 0-4 Fat: 10-32mm MSA Boning Group: 1-7/8 Breed: Angus & others Location: Wagga/Beenleigh/Naracoorte/ Biloela/Rocky Must be min 100d grainfed, NFAS Accredited.
19 Feeder Steers - south Sex: Steers Weight (shrunk): kg Dentition: 0-2 Breed: Angus, Shorthorn, Hereford, British cross HGP: OK if completed activity NLIS: Lifetime traceable Number: 40+ top price Location: Jindalee Feedlot, Temora NSW
20 Feeder Steers - north Sex: Steers Weight: kg Dentition: 0-4 Breed: Angus, Flat Backs, EU, Brahman Number: min 1 deck/type Location: Condamine Feedlot, Condamine Qld
21 Manufacturing Sex: Steers & Heifers & Cows HSCW: 180kg + Dentition: 0-8 Fat: 3-32mm Location: Wagga/Naracoorte/Beenleigh/Biloela/Rockhampton
22 EU Grass/Grain Sex: Steers & Heifers HSCW: kg Dentition: 0-4 Fat: 6-22mm EU Accredited property Specific EU Requirements Location: Naracoorte/Beenleigh/Rockhampton
23 Key Points 52 weeks supply required Know the Specifications Know what documentation is required On time delivery Talk to your nearest Teys Australia buyer
24 Thank You
CAREERS AT TEYS AUSTRALIA
TEYS IS AN AUSTRALIAN, EXPORT BEEF PROCESSING AND VALUE ADDING COMPANY THAT HAS GROWN FROM HUMBLE BEGINNINGS INTO A GREAT ORGANISATION WITH AN INTERNATIONAL REPUTATION FOR HIGH QUALITY PRODUCTS. CAREERS
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