What is VAG?

Feedlot Component

While pasture-fed production dominates the Australian industry, the use of feedlots has developed dramatically since the mid 1980s. Feedlot production involves feeding cattle high protein feed for periods ranging from 60 to 300 days to achieve specific market requirements. Feedlots exist in both the north and the south of the continent, close to grain-growing areas.

This sector provides high-quality marbled beef aimed primarily at Japanese consumers, with some shorter-fed beef also suitable for the domestic market. Australia now has a feedlot capacity of around 851,000 head with over half of that contained in Queensland and one third in New South Wales.

Main issue in VAG is to manage the numbers of animals according to Supply and Demand

Drivers: Make Money Maintain Supply

Major Impactors: Market Price (up or down) Environment (drought) Grain Price

Measures of progress: Animals in (number, weight structure, health, incoming value) Animals out (number, weight structure, health, outgoing value)