March 8, 2007

Australian beef offal prices ease
 

Results from Meat & Livestock Australia's monthly co-product monitor revealed that prices for beef offal were generally weaker in February.

Prices of halal products including tongue root meat, liver and heart to Indonesia averaged slightly lower in February. Confusion in the Indonesian market about whether a restriction will be placed on certain offal, including lungs, has led to a significant fall in halal lung prices, to A$1.59 per kilogramme (/kg). The flooding in Indonesia and Malaysia has also affected distribution and sales of beef offals.

Non-halal liver prices eased in February to A$1.78 per kilogramme, as demand from Russia continues to slow, with many buyers only interested in short term contracts. Speculation that US livers could access Russia has also resulted in further price falls.

Prices of Japanese offals and heavy-weight range rumen pillar were slightly lower in February. Nonetheless, the market is expected to be firmer in March and April in the lead up to Golden week. Traders have reported increased enquiries from Japan for tongues and other offal items.

Thick and thin skirt prices to Japan and Korea were higher in February at A$5.62/kg and $5.63/kg, respectively; with demand expected to be firm in March and April. Korean prices for tails and cheek meat were also firm for the month,

The price of beef tripe was steady in February, with demand from Hong Kong market remaining firm after Chinese New Year.