October 1, 2007

US beef market remains weak

Despite rising fed beef, pork and poultry prices, the US imported beef market remains flat. Prices for domestic US manufacturing beef fell sharply this week, adding weight to reports that rising oil prices and the hedge fund crisis is sapping consumer confidence and limiting eating out, according to Meat and Livestock Australia.

Despite continued tight imported beef supply, imported manufacturing beef prices (in US$) lifted only slightly this week, and only for some categories. The further 2 percent appreciation in the A$ against the US$ this week, has left prices for 90CL (chemical lean) beef down a further 4.7 cents, to 293.2A¢/kg, 13 percent below a year ago.