Fecha: 25 – 27 de octubre de 2016

Lunes 24 de octubre

Llegada a Brisbane.

08:00hs: Tour a Beenleigh. Teys Plant.

12:00hs: Toowoomba. Grain Corp

19:00hs: Cena en un restaurante con productores de la zona.

Martes 25 de octubre

08:00hs Planta de manufactura de alimentos

10:30hs: Confinamiento Mort & Co. Dalby

17:30hs: Viaje a Sidney

Miércoles 26 de octubre

08:00hs Reunión en MLA para ver los temas:

*Visión General de Meat and Livestock Australia (MLA), estructura,

fondos, leyes y acuerdos.

*MLA y alianzas con el sector público.

*Plan estratégico, plan de inversión anual.

*Programas (marketing, investigaciones, etc.)

*Evaluación de los programas, retorno de inversiones.

El Ing. Carlos Pedretti por sus propios medios realizó un viaje a Australia

para interiorizarse en lo que es el sector cárnico, su estructura y

funciones de cada organización. Gracias a los contactos hechos a través

de la Alianza, se pudo interiorizar en el sistema de trazabilidad

australiano, el sistema es netamente privado, es el productor el que se

encarga de poner las caravanas.

En cuanto a la fuente de financiación del MLA, el mismo es financiado

por un pago que realizan los productores por cada animal vendido, en el

caso de ganado bovino es de AU$ 5 por cabeza, totalizando un

presupuesto final de AU$ 198 millones anuales. En el caso de las

investigaciones por cada dólar invertido en investigación de los fondos

del MLA el estado colabora el mismo dólar, duplicando así los fondos

para los programas de investigaciones y desarrollo.

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8 8

Industry structure P

OL

ICY

AN

D

ST

RA

TE

GY

S

ER

VIC

E P

RO

VID

ER

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Meat & Livestock Australia (MLA)

MLA was established in 1998 as a public company limited by

guarantee, following the merging of two industry statutory

organisations – the Australian Meat & Livestock Corporation

and the Meat Research Corporation

MLA is the declared industry marketing body and the industry

research body under sections 60(1) and 60(2) of the Australian

Meat and Live-stock Industry Act 1997 AMLI Act)

10 10

MLA

MLA’s obligations are set out under a Statutory Funding

Agreement with the Commonwealth of Australia (Deed), and in

accordance with the ASX Corporate Governance Council’s

Corporate Governance Principles and Recommendations (3rd

edition)

This framework has been implemented to ensure MLA remains

accountable to its stakeholders and stakeholder interests are

protected

MLA governance framework

12 12

Our funding

MLA is primarily funded by transaction levies paid on livestock sales by producers

The Australian Government also contributes a dollar for each levy dollar MLA invests in research and development

Other funding streams come from specific unmatched grants from the Australian Government and cooperative funding contributions from other Research and Development Corporations, individual processors, wholesalers, foodservice operators and retailers

13 13

Our funding (cont)

Processors and live animal exporters also co-invest levies into MLA programs through their service companies: the Australian Meat Processor Corporation and LiveCorp

Individual exporters and importers can also co-invest with MLA on marketing activities

MLA generates additional income via commercial funding contributions which are matched by the Australian Government - this funding is invested in research and development partnerships that benefit the Australian red meat industry through MLA Donor Company

14 14

MLA’s members

Membership of MLA is voluntary and free to all levy-paying grassfed cattle, grainfed cattle, sheep, lamb and goat producers

MLA had 49,892 members at 30 June 2016

15 15

The Australian Government collects the levy

16 16

Levy allocation summary

Commodity MLA

(R&D) MLA

(Marketing)

Animal Health

Australia

National Residue Survey

Total Levies

Grassfed cattle

$0.92 $3.66 $0.13 $0.29 $5.00

Grainfed cattle

$1.50 $3.08 $0.13 $0.29 $5.00

Bobby calves

$0.16 $0.48 – $0.26 $0.90

Sheep 0.77%

of sale price 0.87%

of sale price 0.18%

of sale price 0.18%

of sale price 2%

of sale price

Lamb 0.49%

of sale price 1.20%

of sale price 0.20%

of sale price 0.11%

of sale price 2%

of sale price

Goats $0.167 $0.105 $0.045 $0.06 $0.377 MLA cannot vary the above levy schedule and must account for all levy spend by levy stream

MLA’s revenue 2015/16

A$198m

MLA’s expenditure 2015/16

A$172m

19 19

MLA’s role

MLA delivers research, development and marketing services to Australia's cattle, sheep and goat producers

Working with the Australian Government and the industry, MLA’s mission is to deliver value to levy payers by investing in initiatives that contribute to producer profitability, sustainability and global competiveness

MLA is a producer-owned, not-for-profit organisation and not an industry representative body

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Our stakeholders

MLA works in partnership with industry and government to deliver products and services to the cattle, sheep and goat industries

Through the Science and Research Priorities and the Rural Research, Development and Extension Priorities, the Australian Government sets high-level priority research and development objectives covering community, industry and environmental concerns

Our stakeholders

Peak industry councils provide policy direction, scrutinise budgets and monitor MLA’s performance

These are: Australian Lot Feeders’ Association, Cattle Council of Australia, Goat Industry Council of Australia and Sheepmeat Council of Australia

MLA also works closely with the Australian Meat Processor Corporation, Australian Meat Industry Council, Australian Livestock Export Corporation (LiveCorp) and Australian Livestock Exporters’ Council to develop programs

Our staff

At 30 June 2016 MLA employed 234 staff

More than 45% were from a rural background and more than 31% were under 35 years of age

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MLA offices – global presence

Sydney

Tokyo

Seoul

Beijing

Dubai

Brussels Washington

Kuala

Lumpur Manila

Taipei

Hong

Kong

Mosco

w

5 Representative offices

9 MLA overseas

offices

Jakarta

Singapor

e

Vietnam

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How MLA operates

Chair of the Board

Michele Allan

Managing Director

Richard Norton

Directors

Alan Beckett Lucinda Corrigan Geoff Maynard Erin Gorter Chris Mirams George Scott Steven Chaur Robert Fitzpatrick MLA has a skills based board

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How do you become an MLA Board Member

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Informing MLA’s plans to 2020

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Improved access to

markets, with

marketing programs

and value creating

innovation driving

increased consumer

and customer

preference and

premiums for

Australian red meat

The community

continues to support

and trust the

Australia red meat

and livestock

industry, with

industry practices in

step with community

expectations

Increased returns

through the value

chain, with

participants and

customers confident

in product quality,

pricing and integrity

systems

Productivity gains

through the value

chain from the

adoption of tools and

technologies

Industry participants

are confident in

industry leadership

capability

Industry participants

are confident that

the levy investment

is delivering value

MLA’s Strategic Plan 2016-2020

2

Market

growth and

diversificati

on

1

Consumer

and

community

support

3

Supply chain

efficiency

and integrity

4

Productivity

and

profitability

5

Leadership

and

collaborative

culture

6

Stakeholder

engagement

Pilla

r

Ou

tco

me

$58.7m $19.6m $20.6m $23.7m $5.3m $2.7m

Pro

jecte

d

$2016-1

7

28 28

What impact has MLA made?

$1 = $14.80

Every $1 invested in maintaining and

improving market access programs

yields $14.80 in current and future returns

$1 = $4.50

Every $1 invested in increasing

productivity programs yields $4.50

in current and future returns

$1 = $5.20

Every $1 invested in growing

demand programs yields $5.20

in current and future returns

$1 = $3.80

Every $1 invested in industry integrity

and sustainability programs

yields $3.80 in current and future returns

An independent assessment of

MLA’s research, development and

marketing programs from

2010-11 to 2014-15 concluded:

$1 = $6.20

Every $1 invested by MLA in

all programs yields $6.20

in current and future returns

Beef Marketing in Australia

October 28th

Market Knowledge

Market

intelligence

Consumer

insights

Build deep market intelligence and consumer insights

Market ‘Access’

Nutrition Social License

Reduce barriers to consumption

Marketing and Promotion

Business

Development Brand Building

Aggressively promote red meat benefits to maintain share of menu, shelf & plate

The Australian Market

Where does our beef go around the world?

Source: MLA estimates

30%

19% 18%

16%

11%

6%

Consumption of Australian beef by volume January to August 2016

Australia

US

Japan

Other

Korea

China

The Domestic Market Purpose

To ensure the domestic market remains the most valuable market

for Australian red meat.

Beef leads the category on value but chicken leads on volume.

33%

37%

12%

11%

2% 4% 1% 0%

Volume Share % of Fresh Meat

FRESH MEAT BEEF

FRESH MEAT CHICKEN

FRESH MEAT LAMB

FRESH MEAT PORK

FRESH MEAT OTHERFRESH MEAT

FRESH MEATSEAFOOD

FRESH MEAT TURKEY

FRESH MEAT VEAL

Source: Nielsen 2016

38%

26%

14%

12%

2%

7%

1% 0%

Value Share % of Fresh Meat

FRESH MEAT BEEF

FRESH MEAT CHICKEN

FRESH MEAT LAMB

FRESH MEAT PORK

FRESH MEAT OTHERFRESH MEAT

FRESH MEAT SEAFOOD

FRESH MEAT TURKEY

FRESH MEAT VEAL

Lamb remains 3rd in the category for both value and volume

Beef commands a significant price premium within the category

0,0

500,0

1000,0

1500,0

2000,0

2500,0

mar

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sep

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mar

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-16

Australian Retail Meat Prices by Meat Type (c/kg)

Beef Lamb Pork Chicken

Source: ABARES 2016, calculated using ABS data

Per-capita beef consumption continues to decline

-

10,00

20,00

30,00

40,00

50,00

60,00

kg/p

erso

n

Domestic per capita meat consumption

Beef

Pigmeat

Poultry

Lamb

Source: ABARES 2016

We consume the most meat of any nation

Source: OECD 2016

0

10

20

30

40

50

60

Uruguay Argentina Brazil US Australia Canada New Zealand

kg/p

erso

n

Per capita beef consumption by country

1996

2016

Source: OECD 2016

We’re the 5th largest consumer of beef in the world

But consumers aren’t meeting the Australian Dietary Guidelines

2

2,5

3

3,5

4

2007 2008 2009 2010 2011 2012 2013 2014 2015

Serv

es

pe

r w

ee

k

Frequency of Consumption

Source: Millward Brown consumer tacker. Figure represents Grocery Buyers 18-64 in metropolitan Australia

ADG recommend 3 – 4 serves of red meat per week

Consumer’s key drivers of choice

1 - Price

2 - Nutrition

3 - Versatility

4 - Animal Welfare & Sustainability

Source: MLA TNS Matrix Usage & Attitude/Segmentation study 2015

Reduce barriers to consumption by giving consumers permission to eat more beef

‘You’re Better on Beef’

Our brand strategy

1x ONLINE FILM 3 x 30’ TVCs

4 x 15’ RADIO SPOTS

DIGITAL / PRE-ROLL

SOCIAL / INFLUENCER

OUTDOOR POINT OF SALE

Home Shop

Emotional “Beef gives me the energy

to overcome everyday challenges”

Functional “Beef is the best source of

absorbable iron”

Beef nutrients

Beef vs. Chicken

Beef vs. Pork

Beef vs. Spinach

Fuel for everyday champions

Steak sales up by 15% across promotion period Chicken sales dropped by around 8% during the campaign.

1.27m copies Butchers and some retailers

QUESTIONS?