Smart contract is a world first
SHOPPERS will soon be able to enjoy more environmentally friendly, better quality British beef on their dinner plates, thanks to the world’s first smart, data-driven beef contract.
In a development which is set to transform the nation’s beef industry, with the Westcountry a leader in the production of pasture-based meat, tech company Breedr has partnered with beef processor Dunbia to launch the UK’s first ever long-term contract based on lifetime animal data.
According to Ian Wheal, founder and chief executive of Exeter-based Breedr, with price certainty giving producers confidence to invest and the data used to improve efficiencies throughout the supply chain, this will not only reduce the industry’s environmental impact but also help to improve the consistency and quality of the beef on consumers’ plates.
If every beef farmer in the UK used the free app to its potential, the industry would save 3.6 million tonnes of feed – worth £650 million – a year and significantly reduce the sector’s carbon footprint, he added.
Cattle would finish five months earlier, and 24% more would hit the target specification.
Mr Wheal explained: “Beef prices are notoriously volatile, and yet farmers have to invest in stock which won’t be sold for at least 18 months – there are no risk management options.
“Until now: By making better use of data farmers can buy and sell with transparency, predict growth rates, and know that they’re supplying the processor with what they want – ensuring a secure end market and price.”
The contract with Dunbia is expected to be worth more than £130 million to British beef producers over the next seven years, and offer lifetime pricing as well as a bonus if the market moves in the producer’s favour. Rearers can also opt to be paid on a per kg growth basis, therefore eliminating the need for capital outlay on youngstock.
Andrew Smyth, head of procurement at Dunbia, said: “Through working with Breedr we are supporting our beef supply base to adapt to future challenges, helping deliver a consistent product to our customers and building innovation, increasing efficiency and reducing environmental impact.”
The world’s first digital exchange for livestock, Breedr, founded in 2018, is already enabling a change in British farming, with over 2,000 members and 120,000 registered animals. It recently launched a databased live trading platform, enabling producers to buy and sell from other
farmers with certainty.
By collating data on genetics, growth rates, health, and carcass grades, beef producers can identify the most productive breeding lines and management methods.
Mr Wheal continued: “These producers are embracing the empowerment that comes with data-backed trading. Through this, they are able to form integrated supply chains which lead to improved efficiencies, firmly founded on the knowledge that what they’re buying is what they get, and with a price certainty at the end of it.”
For more information about Breedr and its services, please visit the website www.breedr.co