October 12, 2012

Australia's beef exports to Russia drop 70% on-year throughout September 2012, at 2,111 tonnes.

Beef exports to Russia were subdued during the second and third quarter of 2012, as unfavourable exchange rate conditions impacted on Australia's competitiveness in the market, while additional Australian product was directed to the US. When compared on-year, shipments to Russia in the nine months to the end of September were back 40%, at 27,854 tonnes.

Interestingly, chilled exports have made up an increased percentage of shipments throughout 2012. Chilled exports have accounted for 3% of total shipments in 2012 to date, at 803 tonnes, compared to 1.6% in 2011, when chilled shipments totalled 729 tonnes. This has indicated that although the market for frozen beef imports has been sluggish for Australian product, the chilled market remains positive.

Chilled shipments have been dominated by exports of cube roll/rib eye roll (41%) and tenderloin (39%) in 2012, with grainfed shipments comprising the majority of chilled exports (51%). Overall, silverside/outside has been shipped in the largest volumes throughout 2012, making up 33% of overall exports, while manufacturing (21%) and blade (12%) have also been shipped in significant quantities.