Leading food and solutions co-operative Alliance Group has launched a Wagyu premium beef programme to farmers as it continues to build its differentiated portfolio to capture greater value and meet consumer needs across its global markets.
The new supply programme, for cattle with a minimum of 50 per cent red or black Wagyu genetics, is for farmers interested in high value cattle programmes and in managing stock to optimise marbling and fat colour.
Alliance is offering farmers a supply contract premium above the ruling schedule at the time of processing for qualifying stock that meets the requirements for the range.
Carcases must meet certain marbling, pH levels, fat colour and meat colour specifications to achieve the premium, which starts at 40c per kilo and ranges as high as $3.00 per kilo above the schedule price.
Danny Hailes, General Manager Livestock and Shareholder Services at Alliance Group, said the Wagyu programme was the next obvious step in Alliance’s successful drive to realise its beef ambitions.
“Five years ago, our farmers told us they wanted a better beef solution, and we listened. We are continuing to invest in lifting our performance in beef. This has included the $5 million project to reconfigure our modern venison plant at the Lorneville plant so it can also process cattle and boosting our capacity at our Levin and Pukeuri (North Otago) plants.
“This Wagyu programme provides our farmers with an opportunity to tap into the growing number of discerning customers around the world who are willing to pay a price premium for naturally-raised beef and attributes guaranteed by a brand they trust.
“It also builds on the success of our global award-winning Pure South Handpicked Beef range’s 55 Day Aged Beef, which recently won three consecutive gold medals at the World Steak Challenge.”
Red Wagyu and Black Wagyu are different breeds of Japanese cattle, both known for their high intramuscular fat content and marbling ability. Red Wagyu’s fat is described as more like olive oil, while Black Wagyu’s fat has a buttery nature. Both are high in good oleic acid and low in cholesterol.
Alliance is partnering with Southern Stations Wagyu (SSW) for the Wagyu programme. SSW will market genetics from its established Australian-based Red Wagyu bulls to New Zealand farmers to inseminate suitable dairy or beef cows or heifers.
The DNA-verified weaned calves will be sold through SSW to approved finishers participating in the programme. SSW’s strategy is to produce fast-growing, efficient converting cattle that thrive on a pastoral-based system and produce some of the world’s finest Wagyu beef. Alliance will provide agronomy support to finishers.
Mr Hailes said the Wagyu programme was supported by the major investments the co-operative is making in its plants, technology and training.
“The Wagyu programme strongly reflects our business transformation strategy, strengthens our presence in beef and will enable us to capture greater market value for our products and pass those gains directly back to farmers supplying the programme.”
Farmers wanting to find out more about the Wagyu programme can contact their Alliance livestock representative or the Alliance livestock team at livestock@alliance.co.nz or 0800 100 144.
(Alliance Group is New Zealand’s only 100 per cent farmer owned red meat co-operative, exporting lamb, beef, venison and co-products to more than 65 countries. The co-operative employs almost 5,000 people across New Zealand and has approximately 4,300 shareholders.)