USA: Beef exports continue to rise, pork exports decline

Beef exports from the US remained at their peak in January, continuing to maintain last year's record levels. Pork exports continued to decline in January despite another outstanding month for exports to Mexico's leading market.

January generated another $1 billion a month in beef exports, according to data released by the USDA and compiled by the US Meat Export Federation (USMEF). Beef exports were 119,066 metric tons, up 13% from a year ago, with a value up 57% to $1.03 billion.

It was the third-highest total value on record—behind only August and November last year—and the value of exports per head set a new record, surpassing $500 for the first time. The value of exports to South Korea set a new record of over $300 million, with significant annual growth in China/Hong Kong, Japan, Taiwan, the Caribbean and Central America.

“This is truly an outstanding growth in U.S. beef exports, and this momentum is not limited to our large Asian markets,” said USMEF President and CEO Dan Halstrom. “Regions such as Central America and the Caribbean have contributed significantly to export growth. in January, and also the value of exports rose strongly in the Middle East.”

Pork exports in January were 208,808 tons, down 16% from a year ago, while the value of exports fell 14% to $555.6 million. Exports to Mexico were outstanding, up 36% year-over-year to over 87,000 tons. Exports to the Dominican Republic, Costa Rica and El Salvador also continued to gain momentum, and the value of exports to Korea rose significantly, but shipments to most other markets were below last year's.

As expected, the ongoing recovery in China's pork production has slowed demand for US pork, but Halstrom also noted the impact of additional headwinds.

“Over the past year, we've talked a lot about port congestion and other logistical issues, and the cost of shipping has a big impact on the ability of the US pig industry to serve certain markets,” he said. “Australia, for example, has been a very lucrative market, but shipping raw materials to Oceania is becoming prohibitively expensive. Low European pork prices are also impacting demand in other downstream markets such as Southeast Asia and Taiwan. This highlights the importance of our Western Hemisphere markets, where the US industry continues to adopt new strategies to increase pork consumption and expand demand. It is also a reminder that the US industry must continue to strive to diversify the market, so we are well prepared for changes in the competitive landscape.”