Beef prices are dropping down in Australian supermarkets. Major grocery chains Woolworths and Coles have reduced prices of beef product up to 22 percent compared to last year, when costs were at record high. Interestingly, butchers have not yet lessened their prices. With the price drop shoppers now pay $1-$4/kg less for their beef purchase compared to 2016.
The Eastern Young Cattle Indicator has projected per capita beef consumption in Australia to rise slightly in 2017, edging close to 26kg per person, thanks to stronger signs in the domestic market. According to figures from agriculture economists and farm advisors agri benchmark, Australian beef producers are also having a profitable time- first since 2006.
Coles’ porterhouse steak is selling for $30/kg, down from $34/kg, scotch fillet steak is $33/kg, down from $37/kg, and three-star beef mince, which jumped from $5/kg to $9/kg last year, is now $7/kg. Woolworths’ MSA beef rump steak has dropped from $23.99/kg to $20/kg and premium mince beef has dropped from $13.99/kg to $13/kg.
Both supermarkets did not revealed how they were able to reduce the prices even at a time when many of the butchers were selling beef for higher prices than in 2016. Coles has been reducing prices for beef products during the past seven months, while Woolworths has been doing this since mid-2016.
Chicken continues to be the most favored meat for Australians, followed by pork while shopping in supermarkets. According to Meat and Livestock Australia (MLA), the cattle numbers in the country are expected to increase to 26.9 million, a 3 percent year-on year hike for the first time in three years.