February 10, 2005

Cattle prices in Australia may rise further

Australia's biggest cattle company says it doesn't think prices have hit their peak yet.

The Australian Agricultural Company, AACo, made the prediction when announcing a record profit for the calendar year of 2004.

Chief executive Don Mackay says the profit of $31 million is up $20 million on last year, and he thinks there's more upside in the market yet.

"There is some commentary that we've got market that's as good as it gets, but we clearly do not subscribe to that.

"The marketplace has low supply and we've got strong demand; yes, we've had the benefit of difficulties encountered from North America with BSE, but it's up to us to capture the value of that and carry it foward."