Angus breaks billion-pound-a-year mark

Angus producers built a brand where others scoffed

angus cow

Back in 1978 few producers of Angus cattle would have thought their beef brand would sell a billion pounds a year.

But this year, after 38 years in the market, the Certified Angus brand broke that mark in global sales, something CAB president John Stika said had increasingly become a foregone conclusion as sales continued to pile up in recent years.

“This number is significant, not because of what it is, but for what it represents,” Stika said in a media release.

What it represents is an ongoing record of sales growth stretching back 12 years. Last year sales increased 13.3 per cent. In the past decade, sales grew by 75 per cent, setting “sequential annual records.”

That record is all the more impressive considering the market conditions during that time, CAB pointed out in its release.

Tight cattle numbers resulted in several years of record-high beef prices, demonstrating the value of a premium marketing strategy, the group says.

Stika said the key for all is to stay the course through their lows and prepare for the future in the highs of the cycle. The long-term outlook reveals a high-quality cow herd that puts producers in position to meet the demands of a global beef market.

“From start to finish in this process, it’s important for everyone to stay connected with each other’s realities,” Stika said. “Doing so allows us to make sure we never lose sight of the fact that we are all in this together. The model for Certified Angus Beef is not just about short-term gain; rather it’s about creating an overall pull-through demand for the product that allows everyone to benefit over the long haul.”

While all may not be simultaneously successful at a given moment in time, Stika said the system will work as end-users base future business decisions on demand growth.

“Cattle prices may be down currently, but quality is still the road for future sustainability of our individual businesses, because consumers demand it.”

This article was originally published in the Manitoba Co-operator.

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