Beef Production System in K orea

1. Beef Production System in Korea

2. Table ofContent • OverviewofRepublicof Korea • Beef consumption • Domestic Beef Production and Imported beef • The Hanwoo Beef • Future Trends

3. Republic of Korea • Area – 100,210 km2 • Population – 50 mln • Density – 501.1/km2 • GDP (PPP) – 33.156/capita • Fertility rate – 1.3

4. Republic of Korea • Very fast economic growth – since 60's • Growing demand for meat • Total meat consumption - 54.1 kg/capita/yr • Domestic production – Hanwoo • Imports – USA, Australia, New Zealand

5. Beef consumption

6. Domestic vs. importedbeef

7. Consumer behaviour • consumerpreferencesforbeefarelargelyinfluenced by quality, freshnessandsafety • otherfactoriswhether the beef was importedordomesticHanwoo • uniquepreferenceforhighqualitydomesticHanwoobeef • colourofmeatisveryimportant • interestofhygieneandsafetyrose after the BSE event in 2001 • chilledandunpackagedbeefispreferedoverpackagedbeef

8. Domestic Beef Production and Imported beef

9. Beef production in Korea • Prior to the mid-1970s, beef production was not particularly important in the Republic of Korea, as Korean native cattle were raised and used mainly for draft animals on farms. • 1970s, rapid economic development resulted in moving away from agriculture toward the expanding manufacturing sectors. • Beef production was perceived by many farmers because of the rapidly increasing demand for beef, particularly in urban areas.

10. Factors affecting beef production and importation

11. Beef supply in Korea US Import ban 2003 Asian Financial crises 1997 Import liberalization 2001 Beef import banned 1985

12. Cattle farm households and Cattle numbers

13. Beef imports by leading suppliers

14. Beef Imports Market share

15. South Korea'sLuxuryCattle – HanwooBeef • Bos taurusx Bos zebu • Known for itshighdegree of marbling • Brown coat color • Concentrate diet in fatteningperiod for marblingeffect • Agricultural by-products used in TMR • Ave. of 31 months (marketing weight of 694 kg)

16. ”Super HanwooCow” • The cloneswereproduced from the bodycells of a 3-year-old ``super'' hanwoocow from Incheon, GyeonggiProvince • weighup to a ton, largerthan average hanwoocows (600 to 700 kgs) Advancement in technology for cloninghanwoocattle, a Koreannativebreed - Korea Times, 2006

17. Consumer’s perception of HanwooBeef • Most expensivebeef in Korea • Fresher & betterqualitythanimportedbreeds • High marbling, more palatable (eatingquality) • Higer ratio of n-6/n-3 thanAustralianAngus beef

18. CarcassGrading System for HanwooBeef • Yield Grade (A, B, and C), carcassweight, sub. fat thickness, LEA, and maturity • Quality Grade (1++, 1+, 1, 2, and 3), meat and fat color, firmness and texture, and marbling score (BeefMarbling Standard, BMS) in Longissimusdorsi(LD) muscle at the 13th rib

19. Premium Class HanwooBeef • BMS score of 8 or 9 = QG 1++ or 1+ • Premium class or High QualityBeef • Lowershear force valuethanother QG • greater scores in tenderness, juiciness, flavor, and overall likeness of LD musclesthanimportedbeef

21. Future trends • Demand for meat will most likely increase • Hanwoo production will most likely remain the same • Imports most likely to increase