Strong Export Demand Supporting Beef Sector Outlook

A new report from Rabobank says the nation’s beef industry is expected to remain on solid footing despite record production levels, supported by strong global demand and resilient export markets.

The recently released Australian Beef Seasonal Outlook 2026 report says high cattle inventories and increased slaughter volumes are set to drive record beef production this year, following several favourable seasons.

RaboResearch analyst Angus Gidley-Baird says strong international demand, particularly from the United States, is continuing to support export prices and historically high cattle prices.

Heavy steer prices are forecast to remain near current levels through 2026 and into 2027, while demand for finished cattle is expected to support the broader market.

However, the report warns deteriorating seasonal conditions remain the biggest risk facing the industry, with dry conditions potentially forcing large numbers of cattle onto an already busy processing system.

Rabobank also says conflict in the Middle East may contribute to higher fuel, fertiliser and freight costs, although overall farm incomes are still expected to remain relatively strong through 2026.