February 4, 2004

 

 

Australia January Beef Exports To Japan Record High

 

Australian beef exports to Japan in January were the highest ever recorded for that month, at 23,701 metric tons, marketing concern Meat & Livestock Australia Ltd. reported late Tuesday.

 

The volume was also higher than December beef exports to Japan, which totaled 19,041 tons. In January last year, Australia shipped 16,938 tons of beef to Japan.

 

January is usually the quietest month for Australian exporters, but interest in exporting heightened after an announcement by the U.S. on Dec. 23 of the discovery there of a single case of bovine spongiform encephalopathy, or mad cow disease.

 

Japan, South Korea and a host of other nations banned beef imports from the U.S., in turn increasing interest in alternative sources of beef, such as Australia, already a major supplier to Japan.

 

In 2003, Australia exported 279,316 tons to of beef to Japan.

 

"In response to increased demand from Japan, preliminary data suggests that exports have been diverted from other markets to help Japan partially fill its beef supply shortfall," MLA said in a statement.

 

The company earlier reported an increase of up to 50% in the wholesale price of Australian beef in Japan. It receives early access to meat export data compiled by the government's Department of Agriculture, Fisheries and Forestry, figures that haven't yet been publicly issued.

 

MLA said while exports from Australia to Japan rose in January, total beef imports by Japan in January likely fell short of last year's 45,000 tons.

 

With Japan's ban on beef imports from both the U.S. and Canada, the latter due to a May 2003 discovery of a BSE case, Japan is increasingly reliant on Australian beef, it said.

 

In Australia, many major processors were closed for annual shutdowns until mid-January, constraining exports, it said.

 

"With strong demand from Japan expected to continue in the short-term, exports to Japan are likely to remain strong," it said.