Strong start for beef imports in the US

The imported beef market in the US has started 2010 on a positive note, with prices surging 6% from where they finished in 2009.

A build-up in demand over the holiday period, combined with limited supplies, have been behind the stronger start to the year, with expectation for imported volumes to remain tight into the first quarter.

While the higher import prices to the US will be welcomed by Australian exporters, stronger import prices could be eroded by the strengthening Australian dollar in coming months.

While prices this week were 17% above the corresponding period from 2008, returns in Australian dollar terms were 17% below 2009 levels, finishing the past week at 309A¢/kg (US$2.81).