Australian grain fed beef sector maintains strength with record capacity and exports
- niamh552
- 9 hours ago
- 2 min read
Numbers of cattle on feed in Australia remain above 1.5 million head
Feedlot capacity continues to grow
Feedlot quarterly turn off approaches 1 million head
The Australian lot feeding sector continues to go from strength-to-strength with numbers of cattle on feed exceeding 1.5 million head and capacity breaking 1.7 million head for the first time, according to the September 2025 quarterly feedlot survey published by the Australian Lot Feeders’ Association (ALFA) and Meat & Livestock Australia (MLA).
National feedlot capacity climbed by 2.5% compared to the June quarter, reaching a new high of 1,749,170 head.
This growth reflects ongoing confidence and investment in the sector, with Queensland and New South Wales leading the charge. Queensland feedlots are now edging closer to the one million head milestone, with capacity at 971,857 head, while NSW recorded a significant 7% increase.
Grant Garey, ALFA President, said this expansion is a clear signal of the industry’s resilience and commitment to meeting global demand.
“The continued growth in feedlot capacity is not just a number, it’s a reflection of the confidence lot feeders have in the grain fed production system,” Mr Garey said.
“Despite the challenges of rising input costs and market volatility, operators are investing in infrastructure and technology to ensure we can deliver consistent, high-quality beef to both domestic and international customers.
“This level of investment underpins the sector’s long-term sustainability and its critical role in the Australian beef supply chain.”
Turnoff also hit a record, with 962,436 head processed during the quarter. Strong lifts in Queensland (+5%) and NSW (+22%) drove this result, underscoring the sector’s ability to meet demand even as feedlots moderated cattle placements following last quarter’s record utilisation of 93%.
Numbers on feed eased by 3.9% to 1,518,289 head as feedlots regulated throughput yet remain 7% higher than the same period last year. Utilisation sits at 87%, well above the 10-year average of 81%, highlighting the sector’s sustained efficiency.
Exports of grain fed beef surged to a record 121,157 tonnes, up 7% on the previous quarter and accounting for 29% of total beef exports. China led the way with 40,625 tonnes (+3%), representing 34% of grain fed exports, while shipments to Japan and Korea both rose by 8%. Growth was also recorded across diversified markets beyond the top three destinations.
Erin Lukey, MLA Senior Market Information Analyst, said the export performance reinforces the global appetite for Australian grain fed beef.
“Grain fed exports remain essential in Australia’s beef trade, and this quarter’s record volumes highlight the strength of demand across key markets,” Ms Lukey said.
“China continues to be a major driver, but what’s equally important is the growth we’re seeing in Japan, Korea and emerging destinations. This diversification is critical for long-term industry resilience.
“Even with feeder steer prices lifting 18% during the quarter, easing grain prices have provided some relief, helping lot feeders maintain competitiveness in a challenging cost environment.”
ENDS.
Media Enquiries:
Jack Johnston
MLA Corporate Affairs and Media Manager
0407 282 971
Grant Garey
ALFA President
(02) 9290 3700
