Wagyu has fallen out of favour as shoppers opt for cheaper cuts of beef, slicing into profits at Australian Agricultural Company, one of the country’s biggest beef producers.

The Queensland-based agribusiness, whose shareholders include billionaire Andrew Forrest’s Tattarang, said tight consumer spending and a glut of global meat production had contributed to a 17 per cent year-on-year fall in wagyu prices to $17.46 per kilogram.