May 15, 2009

March US pork and beef exports remained solid, led by extremely strong pork sales to Mexico and a surge in beef exports to Vietnam, Japan and the Middle East, according to the US Meat Export Federation.

Pork and pork variety meat exports rose 16 percent in volume and 17 percent in value over March 2008, the USMEF said in a release. Compared with the first quarter of 2008, pork exports rose 8 percent in volume to 489,348 tonnes and by 10 percent in value to US$1.12 billion. More than 23 percent of first quarter pork and variety meat production was exported.

The USMEF said that performance was remarkable considering the sluggish economic conditions in Mexico, although the results do not reflect the economic slowdown Mexico has endured over the past few weeks from AH1N1 Influenza.

Japan continued to be the mainstay value market for US pork, with first-quarter exports rising 13 percent in volume to 119,445 tonnes and by 26 percent in value to US$424 million. March results reflected a slowdown, however, as pork exports rose just 1 percent in value over a year ago while slipping 3.5 percent in volume.

Beef and beef variety meat exports for the month jumped 5 percent in volume over March 2008, but declined by about 1 percent in value, the USMEF said. This was due largely to a 17 percent decline in variety meat export value, offsetting a 4 percent increase in muscle cut value.

In the first quarter, beef exports increased 3 percent in volume to 203,475 tonnes and by 1 percent in value to US$690.9 million. Exports accounted for 9.5 percent of beef and variety meat production in the first quarter.

Reduced 1Q beef exports to Mexico (down 21 percent in volume and value) and Canada (down 13 percent in volume and 20 percent in value) placed increased pressure on other international markets in maintaining growth for US beef, the USMEF said. Some responded remarkably well, however, including the ASEAN region, Japan and the Middle East.

Beef exports to the ASEAN region increased 68 percent in volume in the first quarter to 19,645 tonnes and doubled in value to US$64 million, the USMEF said. Vietnam led this charge, recording a 93 percent increase in volume and a jump in value of 146 percent.

March beef exports to Japan climbed 58 percent in volume and 53 percent in value over last year, leading to increases for the first quarter of 32 percent and 29 percent respectively. The additional surge in March was partly because of the availability of more cattle eligible for export to this market under the 20-month age restriction - an advantage that will continue through the summer months.