July 8, 2010

 

 

Australian exports of beef and veal this June have increased 6% on-year, with higher shipments to the US, Korea, Indonesia, Taiwan and Russia, helping to offset a decline to Japan.

 

The month's exports totalled 87,212 tonnes swt - the highest monthly total since March last year. The rise in shipments was facilitated by an increased production throughout May and early June.

 

Australian beef exports to Korea were also a record for June at 12,109 tonnes swt, benefitting from a relatively strong consumer beef demand and reduced domestic production. Even though US competition has increased, Korea has exceeded expectations in Q1 2010 with shipments rising to 17% on-year.

 

Weak market conditions in Japan had Australian beef and veal exports for June back 14% on-year to 27,691 tonnes swt. Demand for Japanese beef is seasonally sluggish throughout June, whereas beef inventories are reportedly adequate.

 

Shipments to the US jumped 12% on-year, to 24,434 tonnes swt, partly assisted by the lower Australian dollar. So far in 2010, exports to the US have contracted 28% on-year to 105,762 tonnes swt.

 

Exports to Taiwan reached their highest level since December 1998, at 4,058 tonnes swt during June, whereas shipments to Indonesia totalled 4,316 tonne swt - up 12% on the same period last year. Russia also continued to take steady volumes of Australian beef, with 3,518 tonnes swt shipped in June - taking exports for the first six months of 2010 to over 15,000 tonnes swt, up 149% on 2009.