579, 2 c/ kilo profit you say.

Ok, a large producer here processes 15,000 head per week, @ say 300kg each.

Do the math and you will find it is you who has lost the plot.

As for the royalties issue, I don't have a problem with them being shared out, but only if all state revenues go into the pot, then it would be fair.

Sydney isnthe corporate cap of Aust, so one could assume they generate more state taxes from companies than say QLD, so, why not share these spolis as well.

This is all I am saying, if you want the benefit from our resources, we want a share of your taxes as well.

Can you explain to' me why that would be unreasonable?

Butch , What are you on about now, for a start 300 kg beast is chicken feed, throw it back to grow. So what is wrong with the margin, Profit is what is left after costs, transport, boning, washing down, tax. There is no loss of plot there.

579, firstly, 300 Kg is about the average for a meat works beast.

Now if you had any idea what so ever on how a business functions you would realize that we are no longer in the 70's.

Most butchers shops in the 70's did very well on a gross margin of just 28%.

Today, a shop with the identical turnover in dollars, working on a gross margin of 50%, just makes ends meet.

The additional 22% is eaten up in fees, rents, wages, super and compliance costs.

Small retail is dying.

Meat is not the total sum of retail, People have gone away from meat for years, and getting even less. Butch old boy 1200 kg was the biggest i seen in the abbs, Bull meat for russia. The trend has gone for younger cattle, to get back some byers. Most of the abbs in the 70,s were for export, and they did not play with undersize cattle. Local abbs done the kill for butchers. Butchers are now going by order, and far cheaper as well. Butcher shops can't compete with supermarkets any more. The quality line doesn't cut the mustard any more. If you do not have the cost you do not get the business.

Wow, 579, how little you know.

For starters, that 1200 kilo beast was live weight, which, once dressed ended up around the 550 kilo mark.

Secondly, butchers sold more meat in the 70's than they do today and, most came from registered abbs.

Thirdly, the largest export market is for cows to the US.

they average about the 350 to 400 kilo range, with the rumps, strip loins, fillets being sold here as either A meat, or Budget.

BTW, abbs profit is on what goes out the door, not what comes in and, it is for this reason they work on dressed weight.

You really have little knowledge of the industry mate.

As for butchers competing, it's all due to the failures of successive governments in not restricting the domination of the super markets.

It will be at our own peril in due cause.

If you have not already done so, I suggest you watch a movie/doco called FOOD INC.

It will really open your eyes and provide an insight in to where we are headed here in oz.

Remember, the cheapest item is not the best option in the long run.