Despite the global financial crisis, the latest ALFA/MLA survey shows the feedlot industry remains resilient with a 15pc increase in cattle numbers on feed over the December quarter.
Australian Lot Feeders' Association (ALFA) president Jim Cudmore attritubed the increase to a weaker Australian dollar, and lower feeder cattle and grain prices.
In all the number of cattle on feed rose from 622,689 to 719,379, while utilisation of feedlot capacity rose from 55pc to 59pc, ALFA reported.
Cudmore said, notably feedlot cattle numbers had increased in all states.
Over the quarter the Australian dollar declined by 24pc against the US dollar, 32pc against the Japanese yen and 2pc against the Korean won.
However, Mr Cudmore said the outlook was being tempered by the global financial crisis and its impact upon the demand for beef.
Meat & Livestock Australia's chief market analyst, Peter Weeks, said conditions have stagnated beef trading and created worldwide beef demand uncertainty.
Source: Australian Lot Feeders' Association ALFA