Newsletter for the week ended 16 April 2004

What a Show and Sale!
We are pretty pleased with the entry of 46 bulls and 40 females for our National Show and Sale this year. The UK Limousin website has just posted the catalogue for the Carlisle Two Day Show and Sale which includes 63 females and 368 bulls - total 431 Lots!

Our National
Our National Show and Sale is not far away. Despite the very dry conditions in southern Australia there has been good enquiry for the sale.
One measure is the number of page hits on the web catalogue. To date there have been 9,532 page hits from 429 visitors on the National catalogue which is more than double the number of page hits last year.
Don't forget the White Lakes barbeque immediately after the Annual General Meeting at the Wodonga Selling Centre on Thursday 29 April and the Show and Sale Dinner at the Commercial Club in Albury on Friday 30th April. Please book through the ALBS office for the dinner where something quite special is going to happen.

Ballot and Proxies for AGM
You have until 5pm Friday 23rd April to lodge your ballot papers for the election of the two Nationally Elected Directors if you wish to vote.
Proxy forms for the five Resolutions must be received at the ALBS office by 5.00pm on Monday 24th April. These can be posted or faxed. A reminder that the AGM is at 4.00pm on Thursday 29th April (not on the Saturday morning as in previous years).

Good News for Beef
The latest "Feedback" magazine reports that Australian consumer expenditure on red meat has grown for the fifth year in a row in 2003.
In the last two years beef prices have increased by 12% but domestic consumption has grown by 15%. For lamb, prices are up by 28% but volume is down by only 9%, the report said.
The value of the domestic red meat market has increased by $2.4 billion in the last five years - a 45% increase according to David Thomason, Meat and Livestock Australia Marketing General Manager.
Mr Thomason said there were a number of factors driving demand for red meat in the Australian retail market including better quality product, better retail presentation, effective promotion and the fact that people are feeling better about eating red meat.

Sale Toppers at Wodonga
Limousin and Limousin X cattle continue to top most sections of the weekly Wodonga (Vic) trade cattle sale.
Stand out Lot sale on 30th March was a single Limousin X steer vealer weighing 410kg @ 195.6 c/kg or $802. This was 9 c/kg and $123 per head higher than the next highest price.
Greg and Mary Withers of Holbrook topped the yearling steers with four pure Limousins 449kg @ 175.6 c/kg or $788, and IL Scott of Walbundrie NSW topped the yearling heifer section with two Limo X heifers 390kg @ 175 c/kg = $682.50. This was 13 c/kg higher than the next best price which was for Murray Grey heifers.
TR Martin of Bethanga Vic topped the heifer vealer market with a Limousin X heifer 350kg @ 186.6 c/kg = $653, 12 c/kg higher than the next best priced Hereford heifers.

Premium for Euro Cows in WA
Jenny Fouracres called in to say she and husband Murray have just sold seven Limousin cows over the hooks to major WA processor EG Green for an average of $886 and a top of $1075.
These are very good returns on current cow prices. One of the cows was an "M" cow (12 years) and the other six were "J's" and "K's" (14 and 15 years), which makes the prices look even better! (I think it was about time for these "old darlings" to have a "rest"). Jenny said that Greens pay a premium for "Euro" cows and especially like Limousins.

Females Sell Well at West Moreton
There was solid demand for Limousin females at the West Moreton Limousin sale at Laidley Qld on 3rd April with more than double the number of registered buyers compared to last years' sale. Fourteen of the seventeen registered females sold to a top of $2300 and an average of $1690.
Top priced female was David and Leonie Washband's Tarampa Downs Uchel sold for $2300 to Neville and Denise Rosser of the Danross Limousin Stud at Lowood QLD. Tom and Jose East of Cliffdale Limousin Stud sold seven year old Glenlea Hera with twin calves at foot for $2250.
David and Leonie Washband also sold Tarampa Downs Verity for $2000 and Tarampa Downs Wendy for $1700 to average $2000 for their three females.
New members Paul and Karen Foreman from Pittsworth paid $2000 for the seven year old Shelomi Sonata offered by Jock and Laurel Taylor of the Glencoe Limousin Stud. The same vendors sold Glencoe Wilpera a PTIC heifer to commercial breeder Jack Massim for $2000. Volume vendors the Taylors sold two cows for an average of $1900 and seven "W" heifers for an average of $1485. G Dowrick and JN & NE Patterson travelled from Charleville in central QLD to buy at the sale.

Traceability is a must
The following article from the US magazine "Drovers Journal"demonstrates the huge ramifications of the discovery of a single case of BSE in a country which exports large amounts of beef but does not have a full traceability system in place.
The impact on prices in the USA is not as great as it would be in Australia. The USA was exporting about 20% of their production while still importing a lot of beef from countries such as Australia and Canada. We export about 65% of our beef production. The sooner we get a full traceability system using the National Livestock Identification System the better.
Another trade mission from the USA is due in Japan on 24 & 25 April to try to reopen the beef trade with Japan
Battle looms over BSE testing
Last week, the USDA denied a proposal by Creekstone Farms Premium Beef LLC to voluntarily test all of its cattle for BSE. But the issue is far from resolved. "We will challenge USDA's decision and are confident we will prevail," Creekstone Chief Executive John Stewart said. Officials for the Kansas-based company say they are 100 percent committed to conduct BSE testing at their plant in order to reverse embargoes and allow their beef back into Japan and other export destinations. The company has said its Japanese customers would buy its products if the company tested every animal processed at its Arkansas City, Kan., facility. Bill Hawks, the USDA's undersecretary for marketing and regulatory programs, said Creekstone's testing proposal would have implied a consumer safety issue that wasn't scientifically warranted. "There's no scientific justification for 100 percent testing because the disease does not appear in younger animals," Hawks said.
I doubt few people at Creekstone would argue that 100 percent BSE testing is "scientifically justified." Their argument is that testing is financially justified by the heavy losses they've incurred since the BSE discovery Dec. 23. In March it was reported that the company, which exports about 25 percent of its beef products, was losing $80,000 to $100,000 per day. That's $80 to $100 per head on the 1,000 head per day Creekstone slaughters.
If Creekstone sues the USDA, it will likely have plenty of supporters. Consumer groups have already criticized the government's decision. "It seems to me they are holding Creekstone captive to some notion that trading agreements are more important than trading," said Carol Tucker Foreman of the Consumer Federation of America. "The government's telling them, 'You can't make the product people want to buy.' " And Felicia Nestor, food safety project director for the watchdog Government Accountability Project said, "To not only neglect consumers, but to also go up against trading partners and industry in this country just is excessively stubborn."
Of course, a Creekstone victory will be problematic for the USDA and the other U.S. packers as it could strengthen Japan's resolve to require 100 percent testing before it reopens its market to importing U.S. beef. — Greg Henderson, Drovers editor

I Was Nearly Right
I was correct in stating that Kathy Curran sold the second of the two heifers offered as a pick of two at the Sydney Royal All Black Sale, but I got them back to front! Michael O'Sullivan bought the SLDJ Polled Equity daughter for $4250 at auction and the Wulfs Guardian daughter sold immediately after the auction for $3800. Sorry Kathy! I have it on good advice that Michael O'Sullivan sold another four embryos after the sale to top off a very good day for him.

Yours in Limousin
Alex McDonald