US beef exports proceed on their upward trajectory
10 June 2021
Newly-released information from the US Meat Export Federation (USMEF) reveals that April’s beef exports continued to construct momentum after breaking information in March 2021.
April exports of US beef set one other new worth report at $808.3 million, up 35% from a 12 months in the past, with export quantity reaching 121,050 metric tonnes (MT) – up 23% year-over-year and the fifth largest on report. For beef muscle cuts, exports have been the third largest ever at 94,656 MT (up 21%), valued at a report $726.7 million (up 36%). For January via April, beef exports moved 5% forward of final 12 months’s tempo at 454,398 MT, with worth up 10% to $2.93 billion. Beef muscle lower exports have been up 8% to 357,570 MT, valued at $2.63 billion (up 12%).
“Trying again at April 2020, it was a tough month for pink meat exports as we started to see COVID-related provide chain interruptions and foodservice demand took a serious hit in lots of key markets,” mentioned USMEF President and CEO Dan Halstrom. “Whereas it’s no shock that exports carried out a lot better in April 2021, we’re happy to see that international demand continued to construct on the broad-based progress achieved in March.”
Halstrom cautioned, nonetheless, that the COVID-19 pandemic continues to be a serious concern for the US meat trade, including uncertainty to the enterprise local weather in lots of export locations. Logistical challenges, together with container shortages and ongoing vessel congestion at many US ports, additionally current important obstacles for pink meat exports.
“Whereas situations are enhancing in lots of key markets, the COVID influence is probably the most intense it has ever been in Taiwan and heightened countermeasures are additionally in place in Japan and different Asian nations,” he defined. “However foodservice exercise is climbing again in our Latin American markets and retail demand – each in conventional settings and in e-commerce – has been excellent and USMEF continues to seek out revolutionary methods for the US trade to capitalize on these alternatives. We’re additionally working with ag trade companions and regulatory companies to seek out methods to enhance the movement of outbound cargo, which is important to sustaining export progress.”
Beef exports set second consecutive worth report; per-head worth additionally highest ever
Along with the general worth report, beef export worth per head of fed slaughter additionally reached a brand new excessive in April at $367.45, up 1% from a 12 months in the past. By means of April, per-head worth averaged $343.70, up 5% from the identical interval final 12 months. April exports accounted for 15% of complete beef manufacturing and 12.6% for muscle cuts, every up about one full proportion level from a 12 months in the past. By means of April, exports accounted for 14.4% of complete beef manufacturing (regular with final 12 months) and 12.1% for muscle cuts (up from 11.9%).
April beef exports to South Korea elevated 21% from a 12 months in the past to 23,482 MT, and simply missed setting a brand new worth report at $182.7 million (up 36% and barely under the August 2020 excessive). By means of April, exports to Korea have been up 11% in quantity (92,478 MT) and 15% in worth ($686.7 million). Exports have been additionally properly forward of the report tempo of 2019, when full-year export worth to Korea reached $1.84 billion.
Beef exports to China continued to soar in April, reaching a report 17,233 MT (up from simply 1,367 MT a 12 months in the past). Export worth to China was $130.6 million – up from $11.5 million. By means of April, beef exports elevated greater than 1,300% in each quantity (48,291 MT) and worth ($364.6 million). These are new annual information, already exceeding the full-year totals posted in 2020.
Whereas Japan stays the main quantity vacation spot for US beef, April exports undoubtedly felt the influence of Japan’s safeguard tariff, which was in impact from mid-March to mid-April. Throughout this time, US beef cuts coming into Japan have been tariffed at 38.5%, properly above the charges imposed on main opponents. The speed for US beef dropped to 25% on 17 April, which is stage with different main suppliers. US commerce officers are in consultations with their Japanese counterparts on the safeguard threshold, which USMEF expects to be exceeded yearly until it’s elevated. April exports to Japan have been down 19% from a 12 months in the past at 25,293 MT, valued at $170.7 million (down 15%). By means of April, exports have been down 12% to 100,702 MT, valued at $655.9 million (down 9%).
Different January-April highlights for US beef exports embrace
- April beef exports to Mexico far exceeded final 12 months’s low totals at 17,190 MT (up 70%) valued at $79.3 million (up 128%). By means of April, exports have been nonetheless down 2% from a 12 months in the past in each quantity (68,721 MT) and worth ($324.4 million), however demand is trending upward with the gradual restoration of foodservice and tourism exercise in Mexico.
- Led by sturdy progress in Colombia and Chile, January-April exports to South America elevated 13% from a 12 months in the past to 9,478 MT, with worth up 30% to $47.8 million. Whereas complete exports to Peru have been up solely barely, beef selection meat shipments elevated 5% to 2,281 MT, with worth climbing a formidable 41% to $3.4 million.
- With January-April shipments on a report tempo to Guatemala, Honduras, El Salvador, Costa Rica and Nicaragua, beef exports to Central America elevated 42% from a 12 months in the past to 7,139 MT, valued at $42.2 million (up 49%). Nicaragua is rising as a powerful vacation spot for beef selection meat, with exports via April reaching 332 MT (up 261%) valued at practically $300,000 (up 176%).
- April was the primary month of 2021 through which beef exports to Taiwan have been greater than a 12 months in the past in each quantity (5,311 MT, up %) and worth ($51.5 million, up %). This pushed January-April exports to 17,854 MT (down 14%) valued at $169.8 million (down 7%), however exports in Could and June could also be impacted by COVID containment measures, together with a present suspension of dine-in restaurant service.
TheCattleSite Information Desk