February 4, 2004

 

 

Australia January Beef Exports Down 11%

 

Australian beef exports in January slid 11% on year to 45,965 metric tons, with a surge in exports to Japan unable to make up for a slump in shipments to the U.S., according to official figures issued Wednesday.

 

The figures are the first full-month data issued after an announcement by the U.S. on Dec. 23 of the discovery there of a single case of bovine spongiform encephalopathy, or mad cow disease, which roiled global beef markets.

 

January is usually the quietest month for Australian exporters, with many major processors shut for annual holidays and maintenance. As a result, comparisons with December exports aren't very useful.

 

But interest in beef exports from Australia, a major global supplier, increased sharply after the U.S. BSE announcement.

 

Japan, South Korea and a host of other nations banned beef imports from the U.S., in turn increasing interest in alternative sources of beef, such as Australia.

 

The official figures, issued by the government's Department of Agriculture, Fisheries and Forestry, show beef exports to the U.S. in January fell almost 25% from January 2003 to 13,766 tons.

 

Beef exports to Japan, on the other hand, jumped 40% to 23,701 tons.

 

Marketing concern Meat & Livestock Australia Ltd. said late Tuesday that exports in January were the highest ever recorded for that month.

 

"In response to increased demand from Japan, preliminary data suggests that exports have been diverted from other markets to help Japan partially fill its beef supply shortfall," it said.

 

"With strong demand from Japan expected to continue in the short-term, exports to Japan are likely to remain strong," it added.

 

Meanwhile, beef exports to South Korea, usually the third largest export

market, fell to 3,580 tons in January from 4,146 tons a year before, the official data show.

 

Exports to Canada continue to languish, with shipments of just 209 tons last month, down from 4,733 tons previously.

 

Demand in Canada for imported beef slumped after the discovery in May 2003 of a case of BSE there.

 

Beef exports to Taiwan rose to 1,754 tons in January from 1,494 tons previously.