UNITED KINGDOM-UK beef demand strong despite recession
Beef demand in the UK has held firm during the past year, due largely to sales of minced and stewing beef, as the economic recession curbs sales of higher value cuts (EBLEX).
During the 12 months to February, total beef sales slipped just 2.3% year-on-year. The highest falls were recorded for roasting cuts (which account for 21% of total sales) as British consumers reduce formal meal occasions due to tighter disposable incomes.
In contrast, sales of minced beef increased 5% year-on-year (accounting for almost half of total beef consumption over the period) as consumers switch to value for money options at retail. Stewing beef sales also increased during the period, and accounted for 14% of total beef sales.
Over the short term, retail beef prices are expected to increase at a higher rate relative to other meats and place further downward pressure on overall beef sales. The current market trend, however, bode particularly well for cull cow and dairy bull beef demand.