November 19, 2010

Brazilian beef exports to Southeast Asia decrease

Brazilian beef exports to Southeast Asia and China during January to October decreased by 27% in contrast to the same period last year, down to 76,117 tonnes slaughter weight, due to the strengthening of the real against the US dollar.

This influenced Brazil's competitiveness in the area and more shipments were targeted at the Middle East.

In October, Brazilian beef which was exported to most markets in Southeast Asia and China was less except for a small increment to China (5%) and the Philippines (2%). Trade to Hong Kong, the largest discharge port for Brazilian beef, decreased by 27% on-year because the re-export channel was slow. 

Meanwhile, New Zealand beef exports to the area rose by 17% on-year, to 67,040 tonnes swt, with strong shipments to Indonesia and the Philippines so they offset the decreased volumes to China, Hong Kong and Taiwan.

US beef exports to the area over the calendar year to September 2010 also increased by 24% on-year to 86,180 tonnes  swt because increases to all markets were enhanced by the weak US dollar.

India continued to fill the main demand for low-priced beef imports in Southeast Asia and China. Shipments to the area during the first five months of 2010 totalled 97,121 tonnes, increasing by 39% on-year.

Beef trade from Australia to the area also had a strong period between January and October, increasing by 5% more than last year, to 108,368 tonnes swt, in spite of the high Australian dollar and wet weather conditions experienced by most of Australian eastern states which decreased cattle supply.