AUSTRALIAN lamb producers have every reason to be optimistic about the future, but really need to focus on continuing to deliver a high-quality product and to make productivity gains.
That was the strong message from Meat & Livestock Australia general manager global marketing Michael Edmonds who gave an insight into the lamb consumer of 2025.
In Australia - the highest value market for Australian lamb at $2.1 billion in 2013 - the high retail price was greatest challenge and would continue to be.
Lamb had 13 per cent of the protein market but the premium of lamb over chicken had jumped from 40pc in 1997-1998 to 140pc.
"The good news is that price is the only reason consumers are not eating lamb more often, but it does mean we need to continue to invest in marketing so that we can continue to have consumers love our product and are prepared to pay a premium for it," Mr Edmonds said.
He said the lamb consumers of 2025 were likely to be the same four major regions who have a healthy appetite for Australian lamb - North America, the Middle East, China and Australia.
The composition of cuts was also unlikely to change much, although growth in pilgrim tourism and five-star hotels in the Middle East were creating new opportunities.
The rise of organised retail stores and fast-food outlets in China was also driving sales of a more diverse range of cuts instead of breast and flap used in their traditional lamb hotpot.
He said MLA was concentrating its marketing efforts in these major markets, understanding the demographics of the market, and responding to key consumer trends.
It was conscious of maintaining markets for both higher value and affordable cuts to maximise the value of the whole carcase and would continue to do more legwork.
Among the key consumer trends where lamb was well placed was a push for natural foods.
This was really being seen in the United States with triple-digit growth in organic beef, organic chicken and natural pork where people were looking to reconnect with their food.
"Our product already is a clean-green product. It is natural and grassfed, so it is perfectly placed to take advantage of the trend," he said.
Social media had been an important avenue for MLA to connect with large numbers of consumers across the major markets, and would continue to be in the future.
Research had shown that 93pc of the population in the Middle East owned a Smart Phone and spent time on the internet daily.
A recent competition on MLA's Facebook page to win a trip to Qld for a week reached 80 million consumers in eight countries in the Middle East and 62,000 likes on Beef and Lamb. "They not only visited the site but we were able to give them recipe ideas and promote benefits of Australian lamb and our Halal status," he said.
* Full report in Stock Journal, July 17, 2014 issue.
Catherine Miller
Stock Journal's livestock editor and South East correspondent.
Stock Journal's livestock editor and South East correspondent.
