Irish cattle exports to Spain shows healthy outlook

The Spanish beef sector is looking healthier by the day, which will in turn give Irish cattle exports a sharp boost.

Irish food board Bord Bia said 2009 was a year of recovery for Irish cattle exports to Spain, and it sets a good base for next year when the shipments are likely to increase 80% from 2008 levels to 80,000 head.

Although the downturn in the economy led to a 5.7% decrease in Spanish beef consumption, the demand still exceeds supplies, and the Spanish cattle feedlot sector has shown strong signs of recovery this year, according to Bord Bia.

Spain's beef production declined 15-20% after a sharp decrease in cattle imports in 2008, and a drop of more than 10% in carcass weights, said Cecilia Ruiz, Bord Bia's Madrid manager.

The drop in feed costs combined with an increase of 4% in beef prices have boosted returns for feedlot owners, said Ruiz.