Trent Bridge Bull Sale 2024 | 5 The volatility of supply is further exacerbated by two key factors: • Any animal that is considered 50% Wagyu is called Wagyu. Therefore a herd of a 1000 Angus cows can produce no Wagyu cattle one year and then 1000 the following year and then back to none the following year. This replicated over multiple herds as a significant impact. • Both the female and male progeny are terminal in crossbreeding operations. There are no other parts of the beef industry that can so rapidly increase and decrease their numbers. So far this year there seems to be limited appetite in the market for wagyu bulls. This combined with the smaller differential in price between F1 Wagyu and Angus suggests to me that we are heading towards a lower joining rate for this spring. In our own business we see these conditions as an opportunity and have significantly increased our planned joinings of Angus females this spring. Should you have any questions on the bulls catalogued or require further information, do not hesitate to contact us. We always welcome the opportunity for private inspections of bulls prior to the sale. We look forward to seeing you at the upcoming sale and the opportunity to showcase our bulls. A look back at F1 Wagyu prices: While I don’t possess a crystal ball, I firmly believe that trends tend to persist. The comparative graph below illustrates the price fluctuations of an F1 Wagyu feeder against an Angus feeder over the past 38 quarters, highlighting the inherent volatility in the F1 market compared to Angus. Moreover, it is evident how the increase and decrease in Wagyu supply impact the price. When we see the price disparity between Angus and F1’s at a high point, we see more people move to produce Wagyu’s, followed by an increase in supply and a subsequent downturn. This invariably leads to an under supply and then an increase in price. Right now the price between Angus and an F1 is as close to parity as it has been since 2019 and early 2020. Noting that cattle joined in that period and sold in 2022 and 2023 had a significant premium over Angus. F1 WAGYU V ANGUS FEEDER $per kg $14 $12 $10 $8 $6 $4 $2 $0 F1 Wagyu Angus 2015 2019 2017 2021 2016 2020 2018 2022 2023
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