Press Release - Beef sector in danger of mincing itself to death

Beef sector in danger of mincing itself to death.

The beef sector is in danger of mincing itself to death, according to the National Beef Association.

The latest Kantar Worldpanel consumer survey shows that fresh mince, which is the cheapest product retailed, and averages only around £4.00 a kilo, even if the premium price range is included, accounts for exactly 50 per cent of fresh beef sales.

The top priced cuts are steaks and roasting joints, which can cost the consumer £17-£19 a kilo – but these only make up 36 per cent of the retail beef on offer.

If stewing steak, which is the only other cut listed in one of the industry’s main price check inventories – and which retails at only £7-£8 a kilo is included, the lowest priced cuts account for almost exactly two thirds of sales.

“This is not good news for farmers, or anyone else in the beef industry, because mince sales are visibly increasing on an annual basis and the sector has no chance of prospering if sales focus even more heavily on its cheapest product,” explained NBA director Kim Haywood.

“More retail imagination is needed if the industry is to overcome the dire income shortage which threatens to suffocate large sections of its supply system.”

“Finishers are struggling to cover feed costs, breeders are still not able to earn enough from the market to make them feel confident about continuing to keep expensive suckler cows, and processor margins are strained because the beef they pack is not able to generate more income at retail level.”

“Mince sales may be booming because it is versatile, convenient, and a principal ingredient of popular quick dishes like lasagne, spaghetti bolognese, chilli con carne, shepherds pie or burgers.”

“But the evolution of mince as a first choice purchase for people unsure of purchasing other more expensive beef cuts is not a success story. If the beef sector is to survive in a recognisable form, and then flourish, it must sell a bigger proportion of the carcase, than it does now, for much more money.”

“Mainstream multiple retailers must consider how they can market beef more creatively other than the current routine of offering mince, stewing beef, steak cuts and roasting joints.”

Some prominent companies say they are already copying craft retail butchers who have been more imaginative by selling appropriate forequarter cuts for steaks instead of mincing it all.   

“However introducing a much needed burst of imagination into the product range of beef is not the province of the farmers but of multiple retailers and their supplies.  They themselves must realise that if they allow mince sales to march ever onwards, without enticing some consumers with better value alternatives, the beef industry will never prosper.”

For more information contact:

Kim Haywood, National Beef Association director.
Tel. 0131 336 1754/07967 698936

Notes to Editors:

EBLEX master butcher, Dick van Leeuwen said: ""Thanks to seam butchery methods, we are now able to generate maximum value and profitability from lesser-used cuts.
""The feather muscle, for example, is normally reserved for braising, dice or mince; however, by cutting it differently and removing all the gristle we can produce a ‘Flat Iron Steak’ that is not only extremely tender, succulent and juicy, but when matured correctly, can rival rump or sirloin.  The opportunities for retailers, therefore, to capitalise on the growing popularity of these steaks is clearly there for the taking.”  The following link provides further information:
http://www.eblexretail.co.uk/?page=news
and click on link for Innovative steak cuts. 

The full range of Quality Standard steaks, which should be matured for a minimum of two weeks, is:
• Hanger Pavé, EBLEX Code: Offal B003
• Hanger Steak, EBLEX Code: Offal B004
• Bavette, EBLEX Code: Thin Flank B006
• Skirt Steak, EBLEX Code: Offal B002
• Pavé (Underblade), EBLEX Code: Chuck B019
• Pavé (Underblade Fillet), EBLEX Code: Chuck B020
• Pavé (Thick Flank), EBLEX Code: Thick Flank B007
• Pavé (Heel Muscle), EBLEX Code: Leg B002
• Flat Iron Steak, EBLEX Code: Chuck B013
• Tender Top Steak, EBLEX Code: Topside B015
• Centre Cut Steak, EBLEX Code: Thick Flank B006
• Ranch Steak, EBLEX Code: Topside B009