September 13, 2005
USDA: US beef faces strong competition in European market
The EU became a net beef importer in 2003. U.S. interests in increasing beef exports to this large market are growing. However, there are important hurdles that U.S. beef exports must overcome to be competitive.
Market access for U.S. beef is highly restricted by the EU hormone ban and only beef from the Non-Hormone Treated Cattle (NHTC) program is eligible. U.S. beef is also facing strong competition from South-American beef exports.
Since 2003, the European Union (EU) has become a net importer of beef. This beef deficit is expected to increase in the coming years, as European beef production is declining and consumption expected to remain stable.
In 2004, the EU imported over 580 thousand MT CWE of beef, about 70 percent from Brazil and about 20 percent from Argentina. Main importers were the United Kingdom, The Netherlands and Italy, followed by Germany and Spain.
The European beef market
|
Country |
EU-25 | |||||
|
Commodity |
Meat, Beef and Veal (1000 Head; 1000MT CWE) | |||||
|
|
2004 |
2005 |
2006 | |||
|
USDA official [old] |
Posts Estimates [new] |
USDA official [old] |
Posts
Estimates [new] |
USDA
official [old] |
Posts
Estimates [new] | |
|
Slaughter (Reference) |
29,720 |
29,249 |
29,040 |
28,750 |
0 |
28,650 |
|
Beginning Stocks |
59 |
59 |
0 |
0 |
0 |
0 |
|
Production |
8,077 |
7,941 |
7,950 |
7,825 |
0 |
7,800 |
|
Extra EU25 imports |
485 |
583 |
550 |
625 |
0 |
650 |
|
TOTAL SUPPLY |
8,621 |
8,583 |
8,500 |
8,450 |
0 |
8,450 |
|
Extra EU25 Exports |
350 |
358 |
300 |
250 |
0 |
225 |
|
TOTAL Domestic Use |
8,271 |
8,225 |
8,200 |
8,200 |
0 |
8,225 |
|
Ending Stocks |
0 |
0 |
0 |
0 |
0 |
0 |
|
TOTAL DISTRIBUTION |
8,621 |
8,583 |
8,500 |
8,450 |
0 |
8,450 |
Source: GAIN report E35141 - EU25 Livestock Annual 2005
For the full report, click here.
