Slaughterings in Northern Ireland and Scotland rose by 4% in August. Compared to August 2014 carcase weights were up 1.5%, creating more supply in the martket. However, according to Mintec, the onset of autumn and the current cold weather has driven further demand for beef, driving prices up.

Expenditure on beef unchanged

However, this does not seem to have changed spending patterns. According to the latest data from Kantar Worldpanel in the 12 weeks to 13 September, overall expenditure on beef was almost unchanged on the year. Both the amount of beef bought and average retail prices remained stable. An increase in the frequency of purchase was offset by a 3% decline in the amount bought on each shopping trip. Three of the big four retailers all recorded lower sales compared to the same period last year, however, the Hard Discounters continued to make very strong gains with sales volumes up almost a half year on year.

ADVERTISEMENT

Higher sales of frying and grilling cuts were offset by lower sales of mince and roasting joints. Fewer price promotions in two of the big four UK supermarkets have led promotions on mince to fall by 50%. Promotions on stewing beef have similarly dropped by 25%, which had a notable effect on the value and volume of purchases of this cut. Despites lower prices the amount of roasting joints sold fell compared to last year, meaning that expenditure was also down.

Lamb

Mintec's report shows that high levels of lamb slaughterings have depressed prices more than they usually would have been at their current seasonal low. UK sheep slaughterings were up 2%, 1.3m head, in July this year, the highest July throughput since 2009.

“In the period between May and July 2015, an extra 100,000 lambs have been slaughtered compared to the same period one year ago, which has added more supply to the market and maintained lower prices,” said Mintec.