March 22, 2010

Tight supply and solid South Korean demand lift beef prices

Wholesale prices for most imported beef in South Korea have lifted steadily since the beginning of 2010 due to solid demand and limited supply.

Last week, most Australian exporters confirmed Korea's interest for Australian beef by increasing enquiries and prices. Australia exported 5,042 tonnes swt of beef to Korea from March 1-15 this year, with chilled beef accounting for 31% and likely to surpass January (5,923 tonnes swt) and February (7,505 tonnes swt) volumes for the month.

Korea's beef imports in February totalled 16,515 tonnes swt - decreasing 27% on January, but rising 6% on February 2009. Beef imports from Australia totalled 7,975 tonnes swt, while the US, New Zealand and Mexico supplied 5,606 tonnes swt, 2,794 tonnes swt and 140 tonnes swt, respectively.