improving communication & building knowledge across the beef …€¦ · building knowledge...
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Improving Communication & Building Knowledge
across the Beef Supply Chain
Graham Centre Beef Forum
Jasmine NixonLivestock Strategic OperationsTeys Australia Wagga Wagga
(02) 6938 3064
Teys Australia
Commodity Cycle
Our industry is facing a number of strong challenges
Costs of production
Other Beef Exporters Other Proteins
Therefore Businesses & Industry must evolve to survive
How do we build a stronger supply chain?
Carcase & Offal Inspection
• Export accredited plants; operate under the Australian Standard for Meat Production.
• All carcases & offal are inspected by independent 3rd party meat inspectors, approved by AQIS.
• Observe high rates of various diseases and pathology.
New Animal Health Feedback
• New information link back to producers
• Teys Animal Health Summary Reports– Pathology observations made by trained independent
3rd party meat inspectors, approved by AQIS.
– Recorded against each individual carcase
– All direct consignment cattle will be provided with a Teys Animal Health Summary Report.• Includes a summary of the five major issues observed (if any)
• List of observations per individual animal
Top 5 major conditions
Observationsfor each individual animal
Current Impact
Liver-Fluke
20% of cattle
Lung Pleurisy
5% of cattle
Liver Abscess
8% of cattle
What is this potentially costing your business on-farm?
Roll-out
• Teys Animal Health Feedback Reports
– Progressive roll-out across all Teys plants over next few months
• Developing information tools for producers
• Encourage producers to discuss their results with their Teys buyer & seek further advice from their local animal health professional
Feeder to Finished Steer
New Teys Feeder Cattle Benchmark Reports
New Feeder CattleIndividual Performance Reports
• Knowledge is power – feedback is key
• Individual animal health data
– Will be available over next few months
• Feeder cattle performance data
– Now available to cattle sold to Teys Feedlots
You can’t manage what you can’t measure
Jasmine Nixon - Teys Australia(02) 6938 3064jasminen@teysaust.com.au
• Key drivers of Carcase Value
Sale value of meat – QUALITY
Weight of saleable product – YIELD
Current indicators weight & P8 fat Very poor indicators of true lean meat yield
Dual Energy X-ray Absorptiometry (DEXA)
DEXA
Using technology to provide a better indication of carcase yield
DEXA - what is it
• Measures the difference in
two energy x-rays that
passes through tissues;
o bone,
o fat,
o lean (muscle)
• First developed in 1987 as
a medical tool to estimate
bone density and human
body composition.
• In an animal carcase, the
bone free lean mass is
meat so provides a more
accurate assessment of
overall lean meat.
And it works
R2=0.73, RMSE=3.49R2=0.88, RMSE=3.21
R2=0.93, RMSE=0.81
CT Lean% CT Fat%
CT Bone%
Lean meat yield – Improving accuracy
49.20
53.90
58.60
63.30
46.2 53.2 60.2 67.2
LMY%
MSA Index
LMY% vs. Index
Estimated LMY
Possible LMY Range
Current Industry Practice- Carcase Weight- P8 Fat
49.20
53.90
58.60
63.30
46.2 53.2 60.2 67.2
LMY%
MSA Index
LMY% vs. Index
Estimated LMY
Possible LMY Range
Lean Meat Yield Equation Calculation developed by Murdoch University using:
- Carcase Weight- P8 Fat & EMA
Lean meat yield – Improving accuracy
49.20
53.90
58.60
63.30
46.2 53.2 60.2 67.2
LMY%
MSA Index
LMY% vs. Index
Measured LMY
Possible LMY Range DEXA
Even better accuracy on
lean meat yield
New Teys Carcase Feedback - yield and quality
First Stage:Lean Meat Yield percentage (based on equation developed by Murdoch University)
now provided on feedback for all over the hooks cattle sold to Teys
VBM Group – yield and quality
Lean Meat Yield % and MSA Index comparison provided on feedback report for all over the hooks cattle sold to Teys
Will transition to new, more accurate technology as it becomes available e.g. DEXA
Progress Update
• Lean Meat Yield % now being provided to all Teys producers (based on Murdoch University calculation)
• DEXA trials completed with promising results
• Currently in process of building DEXA unit at Teys Rockhampton plant to allow commercial trials to commence in late 2017.
• Proposal to build next unit at Teys WaggaWagga plant early 2018.
The big picture: We must improve productivity all through the supply chain
VBM is one opportunity
– Payment on the basis of actual weight of meat and
quality
Gold
Silver
PlatinumWeight (Yield) x = $
Weight (Yield) x
Weight (Yield) x
= $
= $
$TRUE VALUE
Yield x Quality + Tiered Branding
Data Flow DiagramAnalyzing data from supply chain and presenting it in actionable form will be the key to success
TeysData Matching and
Analysis
Producer
Reports
AHData
LeanMeatYield
The key is accurate and relevant feedback linking consumer value
• What is the true value of each animal?
• What is creating the value difference?
• How can I identify the good and the bad?
• How can I instigate continuous improvement?
• Clear price signals will drive dramatic change.
THIS IS THE FUTURE
• Knowledge is power – accurate feedback relays value• Value based payment stimulates action• Producer action moves the curve• A high value animal costs the same to breed, feed & process• Additional revenue must be shared by participants• Teys is committed to this path
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