August 11, 2014

Australia's beef exports to Korea set record

Australia's Department of Agriculture said that the 13,157 tonnes of beef and veal exports to Korea registered the highest July monthly volume on record.

This continued the high volumes of the first half of 2014, as Australia remained the largest supplier of beef to Korea during the first half of 2014, with its market share rising slightly to 54%. Meat and Livestock Australia (MLA) reports for the first half of the year, Australia exported 74,701 tonnes swt of beef to Korea, up 10% on-year. Exports to Korea for the first seven months reached a new high of 85,946 tonnes swt.

For the month of July, Australian frozen beef exports were down slightly by 1% on-year, to 9,756 tonnes swt. The fall was seen for frozen grass-fed beef - down 5% on-year, at 8,289 tonnes swt, while frozen grain-fed beef jumped 29% on-year, to 1,466 tonnes swt.

In contrast, an earlier than usual Chuseok festival (at the start of September) helped increase demand for Australian chilled beef by 18% on-year during July, at 3401 tonnes swt. Demand for chilled grain-fed beef was particularly strong, at 2,050 tonnes swt - the highest since August 2011, with chilled grass-fed beef edging up 3% on-year, to 1,351 tonnes swt.

Although chuck roll remained the most popular cut shipped to Korea during July, at 2,974 tonnes swt, export volumes fell 18% on-year. However, chilled chuck roll exports saw the largest volumes since August 2011, at 726 tonnes swt. Blade totalled 1974 tonnes swt - up 14% on-year, with chilled blade shipments the largest on record, at 660 tonnes swt.

Korea also imported 24% more short rib than July last year, at 1,473 tonnes swt. The proportion of short rib sent to Korea out of Australia's total short rib exports also increased to 84%, from 74% in July last year. Silverside/outside exports also grew in July - up 30% on-year, to 969 tonnes swt - the highest since March 2011.