September 29, 2006

Australian beef exports to Russia increases 18-fold

Australian beef exports to Russia have experienced explosive growth in 2006, with exports for the first eight months of 2006 at 9,086 tonnes, compared with 510 tonnes for the whole of 2005.

This growth comes as Russia's beef supplies from other countries have dried up at a time of high demand: EU beef exports have slowed to a trickle due to higher demand at home, Brazil's supplies were stopped due to foot and mouth diseases and Argentina had a self-imposed ban to curb inflation.

The largest amount Australia shipped to Russia was in 2001, when shipments reached 5,219 tonnes.

Since then, the mix of cuts exported to Russia has also undergone significant changes. 

In 2001, almost all the beef shipped (96 percent) was manufacturing beef. Now, it only accounts for 20 percent of shipments. Silversides make up the largest percentage, at 38 percent.

The first eight months of 2006 also saw a rise in chilled and grainfed exports, reaching 184 tonnes and 292 tonnes respectively.