July 22, 2010

Demand for Australian-manufactured beef rose in June due to the volumes used for traditional Philippine beef school meals, including beef burger, corned beef and beef hotdogs.

Most consumers are reportedly withholding spending to accommodate tuition fees and other school needs in June. On the other hand, fine-dining restaurants in the Philippines offer various promotions to assist sales and are using alternative cuts to ease margin pressure.

In July, wholesale prices for chilled Australian tenderloin averaged PHP1,390 per kg (A$34.71; US$30.40), while equivalent chilled US tenderloin prices sold at a premium, averaging PHP1,850 Peso per kg (A$46.19; US$40.46). Prices for chilled Australian rump registered at PHP480 Peso per kg (A$11.99; US$10.50), unchanged as compared on-year.

Despite Australian beef's premium compared with local products, Australian beef sales over the two months to July were assisted by an increasing number of modern retail stores offering Australian products.