Global Beef Markets and Trade – Forecast for 2021

The Foreign Agricultural Service of the US Department of Agriculture published a forecast for the development of the situation in the global beef market until the end of 2021. Beef production, exports and imports are expected to decline significantly.

The forecast for global beef production for 2021 is revised down 1 percent below the April forecast to 60.8 million tons, driven by lower production in Argentina, Australia and Brazil. Argentina is fighting high beef prices by restricting exports to increase domestic supplies, a move that will lower prices and limit incentives to further market cattle. Meanwhile, Australian beef production is expected to fall to a 23-year low due to the recovery of the national herd. In Brazil, weak domestic demand and high production costs have squeezed MEAT processors' profits, which is expected to reduce incentives to increase cattle slaughter during the year.

Global beef exports in 2021 will fall by 3% to 10.8 million tons, as lower exports from Argentina, Australia and Brazil more than offset increases in shipments from the US, CANADA and New Zealand. Global imports fell 1 percent. While demand for beef in Asia is expected to remain strong, a reduction in global EXPORT supplies will slow down beef imports to CHINA and Hong Kong.

And this fact will be taken into account when preparing the monthly analytical report Meatinfo.ru