Value adding

A product is classified as 'value added' if its raw material has been processed to achieve an increased market value. Value added products have applications in both food and non-food markets.

Red meat for table consumption is the major product from a carcase and currently 80 per cent of the total carcase value is derived from just 40 per cent of the carcase weight.

The profitability of the red meat industry is critically dependent in deriving extra value from lower-value meat cuts and from the non-meat parts of the animal, such as skins, offal and blood products that make up 60 per cent of the total carcase weight. All parts of the animal contribute to increased revenue per carcase and profit.

To acheive this, value must be added in the eyes of the consumer across the wide continuum of value-added products - from consumer meals at one end to high value pharmaceutical ingredients at the other.

Value adding typically involves a significant transformation of the product, from improving the eating characteristics of secondary cuts to transforming inedible co-products into raw ingredients for other industries. Developing new and cost effective methods of transforming traditionally low value parts of the carcase into products that meet consumer needs and attract higer prices is a key focus of the value adding program.

AMPC and MLA work with the Australian red meat industry to develop new opportunites for value adding in both:

In today's competitive market, value added red meat products must remain economically viable. Research and development in value adding is specifically developed to help the red meat industry capture more value per head of animal.

Further information

For further information, please contact:

Phil Franks

Manager, Science and Technology

Phone: 02 9463 9247

Email: cis@mla.com.au

Meat & Livestock Australia acknowledges the matching funds provided by the Australian government and contributions from the Australian Meat Processor Corporation to support it's research and development programs.