MEAT+POULTRY - November 2024 - 60

BEEF BRANDING
extensions: Certified Angus Beef Natural,
Certified Angus Beef Grass-Fed and Certified
Angus Beef Ranch to Table.
Anyone questioning the availability
of carcasses that will grade out to CAB
specifications has cause for concern. The
brand's successes have been notable, but
headwinds remain for producers.
Randy Blach, CEO of CattleFax, said beef
cattle growers will produce enough supply
of carcasses, but they are facing headwinds,
including drought conditions that have
improved, but stubbornly persist.
" From a beef industry standpoint, we've
had droughts that we've had to deal with
over the course of the last several years, "
Blach said. " Again, things are in better shape
today, but we're still not fully through this
drought cycle.
" Things are in better shape today, but we're
still not fully through this drought cycle. "
- RANDY BLACH
qualified as Certified Angus Prime, an increase
of 16% over the prior year. Certified Angus
Beef Prime sales marked a new milestone with
50.5 million lbs sold, growing 22.5% from 2023,
CAB said.
Given current market conditions, record
sales of Certified Angus Beef Prime are
another sign that consumers base their buying
decisions on more than price. It's also a sign
that a premium product such as CAB Prime
can continue to be a very strong growth vehicle
in spite of declining cattle supplies and higher
pricing, Stika told the audience.
Stika noted that " ... history would suggest
that as prices have had to increase over the
years, consumers ultimately have been willing
to come along with us. "
" Although price is extremely important,
don't get me wrong, consumers continue to
show us that the purchase of Certified Angus
Beef is a price-in-relation-to-value purchase
decision, " he said.
The brand is also focused on providing
consumers options with three additional line
60 MEAT+POULTRY | 11.24 | www.meatpoultry.com
" And I think as you go back and look at
where the industry is in total, and you think
about where we are from a drought standpoint,
whenever you see one of these drought maps
like this, that shows a lot of red, and browns
and yellows - it's not good, is it? Well, we're
in much, much better shape than we were two,
three and four years ago. But we're still in a
grinding cycle. "
Driving concerns about drought conditions
is a La Nina weather pattern that looks like it's
going to persist for another 12 to 18 months,
Blach said, which is what keeps producers
from retaining more heifers and growing
their herd.
Given these conditions, beef cattle
production levels are going to decline,
Blach said, and there are going to be more
competitive meat supplies available - such as
more pork and poultry.
" I know we don't want people trading to
pork and poultry, " he said, " but the issue is as
we come through these tighter supplies, the
key thing is we want them to be able to put
protein on their plate, don't we? So, I think
there will be some of that trade down. "
VALUE-ADDED PIECE OF THE PUZZLE
The industry continues to meet consumer
demand for premium beef from Michelinstarred
white tablecloth establishments to
refrigerated meat cases.
CAB recorded continued foodservice
growth with 415 million lbs sold across
http://www.meatpoultry.com
MEAT+POULTRY - November 2024

Table of Contents for the Digital Edition of MEAT+POULTRY - November 2024
