Australia Looks to Philippines for Red Meat Market

AUSTRALIA - A booming economy and growing middle class provide fertile ground for increasing beef and lamb exports to the Philippines.
calendar icon 18 June 2012
clock icon 2 minute read
Meat & Livestock Australia

The Philippines has developed rapidly in recent years, and is projected to become the largest economy in South-East Asia - and 16th largest in the world - by 2050.

Australian beef exports have grown five fold to the island nation since 2005. In 2011, Australia’s beef exports to the Philippines totalled 19,800 tonnes swt, while lamb exports were 411 tonnes.

Beef consumption is currently estimated at 4kg per head (compared to 34kg in Australia). Local production accounts for 60 per cent of consumption; however, the shortfall from local production continues to grow.

Due to long term association (politically and militarily), US beef has a leading share of the foodservice market. Low cost beef competitors, such as Brazil and India, also have access.

However, Australia’s share is increasing. Australia is the leading supplier into the growing modern retail segment and this is where there are opportunities to develop and work collaboratively with commercial partners.

Pork and chicken reign supreme as the proteins of choice, as there is an abundance of local supply and it is relatively cheaper compared to beef. The majority of beef is used in manufacturing – typically a ‘corned’ canned product, which takes up large volumes of supermarket shelves.

MLA’s focus is on harnessing the growth and opportunities arising from the rising affluent population. MLA’s in-market activities centre on the rollout of a targeted business development programme.

This is based on identifying opportunities for imported red meat. Following this MLA provides technical after sales product support, and food safety and product handling training to develop and expand the skill set of butchers.

Our activities are focused on training and development of young chefs while improving the standard of food safety, product knowledge and handling within the retail sector.

As modern retail develops, MLA works in conjunction with retailers to further improve awareness, handling and overall hygiene of handling Australian beef and lamb. This is particularly important as a modern supermarket in the Philippines is typically similar to a wet market, where protein is available in open cabinets and customers are freely able to touch, feel and smell meat before purchase.

The Philippines has the highest concentration of culinary schools of any country in this region. MLA works closely with these schools, providing targeted technical training and product knowledge seminars to these young professionals.

Business development activities and marketing promotions are underpinned by the recently developed Australian beef logo. The logo is the hallmark to the consumer positioning and our key message that Australian beef is clean and safe.

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