Last week Angus Australia’s Commercial Supply Chain Manager, Liz Pearson travelled to Singapore in support of Angus brands who are independently verified by Angus Australia. These brands included:
FHA 2018 Singapore is the largest and central hub tradeshow for the promotion and distribution of Australian beef throughout SE Asia.
FHA 2018 Singapore at a glance:
Along with the promotion and distribution of beef, this tradeshow includes all things food and beverage. From Thai seafood to Tunisian dates, USA dairy products, Spanish bread and French cheese and chocolate. FHA 2018 has it all. Please view the photo gallery at the bottom of this story.
While the emphasis of Angus Australia’s attendance at this event was to support our verified brands, its was also a great opportunity to meet with other Angus brands on display and discuss the value of independent verification for these.
Along with this opportunity came the chance to communicate directly with major customers of Angus brands – the wholesale and distribution businesses based in Singapore. These businesses distribute products into hotel chains, high-end restaurants, food service, supermarkets and butchery’s.
There are 4 key wholesalers who were happy to share the good, the bad and the ugly when it came to Australian Angus beef.
There was dedicated support for the consistent eating quality of our beef and the knowledge that it would deliver a superior eating experience every time on any menu in the high-end food service industry.
However, it was not all roses with some clear challenges being faced in the market today.
The first is the competition Australian Angus beef brands are currently facing from Brazilian and Argentinian Angus brands. Although the consistency of eating quality is not as good as Australian Angus beef, their product is still pretty good according to these distributors and is approximately $4/kg cheaper. This lowers the margin the distributor can make on Australian product relative to South American product. Hence, the importance of consistent eating quality and any other differentiation that Australian Angus brands can offer.
Secondly, over recent times there has been a significant influx of Angus products available in the international market. Terms such as commoditisation were raised with concerns about the validity of Angus breed claims on products.
This drive for differentiation and validity of Angus breed claims in the market is pleasing to hear, as Angus brand verification can deliver this. Angus Australia’s independent verification received praise from these distributors as another bow in the offering to the food service industry of SE Asia by Australian Angus producers.
And finally, the challenge that all beef encounters as competition with other proteins for a place on the menu.
With a lot of Angus products going to high end restaurants and hotel chains, once you’re on the menu, there is no guarantee of staying there as high-end chefs like to continually update and change their menus. In this case brand owners and distributors work closely with chefs to create trust and brand loyalty.
Many opportunities were afforded to discuss Angus brand verification with international visitors, particularly from SE Asia, attending the tradeshow looking to secure quality, verified Australian Angus beef.
Whilst in Singapore, there was also the opportunity to visit one’s of the largest distributors, Huber’s Butchery, who retail large quantities of high-end Australia product, including beef, lamb and fruit and vegetables.
Huber’s butchery is quite a site with 2 levels of fresh and packaged products to browse before entering their on-site bistro to taste the beautiful and sometime exotic produce on offer.
All Huber’s products are sold by 100g quantities and as you will see from the photo gallery at the bottom of this story, there are some very pricy items available. Certainly, when you consider the processing cost of getting your Angus cattle from the property right through the value chain and into a high-end butchery in Singapore, it’s no surprise that the price paid by a customer in Singapore compared to Australia is extreme.
Top Image: Patrick Marryat, Export Sales & Marketing & Nathan King, Export Sales, Thomas Foods International with Liz Pearson, Commercial Supply Chain Manager, Angus Australia at FHA 2018