September 4, 2009

Australia's beef exports in August fell 5.5 percent from July to 78,154 boneless tonnes, but still rose 12 percent from August last year, according to official figures issued late Wednesday (September 2).

Exports in the first eight months of this year were 625,529 tonnes, up 1.5 percent from the January-August period of 2008, according to figures issued by the Department of Agriculture, Fisheries and Forestry, which doesn't comment on the data.

Japan remained the biggest market, accounting for 29,645 tonnes in August falling 10 percent on- month but rising 1.4 percent on year, taking shipments there in the first eight months of this year to 241,187 tonnes, down 1.6 percent on the year-earlier period.

Australia is the second-largest global exporter of beef after Brazil, with the value of annual exports in 2008 rising to a record A$5.06 billion (US$4.70 billion). About two-thirds of Australia's beef output is exported with production a key determinant of the level of exports.

Exports to the US of 20,100 tonnes fell 0.8 percent on- month but surged 50 percent on year, as US consumers hard hit by the economic downturn continued to opt for the cheaper meat supplied by Australia that is used for blending into hamburger patties. Exports to the US in the first eight months of this year of 187,087 tonnes jumped 44 percent on year, the official figures show.

Australian beef exports to South Korea of 11,485 tonnes rose 9.1 percent on-month and 60 percent on year. Total exports to South Korea in the first eight months of 2009 reached 71,945 tonnes, down 12 percent on year, in part reflecting the impact of the country's increased imports from the US.

Among lesser markets in the first eight months of this year, exports to Indonesia rose 42 percent to 29,995 tonnes and exports to Taiwan jumped 24 percent to 20,735 tonnes, but exports to Russia at 9,821 tonnes continued to languish at barely one sixth the year-earlier level amidst ongoing fallout from the global economic downturn.

Indonesia now is established as Australia's fourth largest export market on the back of robust demand for beef, marketing concern Meat & Livestock Australia Ltd. reported a month ago.

US$1 = A$1.19 (Sept 4)