According to statistics released by USDA and compiled by the US Meat Export Federation, exports of US beef moved 3% higher in volume in May, and 9% in value, while pork exports dipped 3% in volume and 3.6% in value.
The restriction of US beef and pork shipments to Russia continues to put a damper on US red meat exports this year. Excluding Russia, beef export volume for May increased 12% and export volume for the first five months of 2013 rose 3.5% instead of falling 3%.
Similarly, May pork exports increased 3.5% in volume over last year's totals if Russia is excluded. For January through May 2013, export volume would be down 5.8% instead of 9%. An oversupply of domestic pork in many major export markets continues to pose a challenge to US exports.
"The loss of a key market like Russia ripples through the red meat industry," said US Meat Export Federation President and CEO Philip Seng. "The absence of one of the largest meat purchasers in the world affects the volume of product sold and, more importantly, the price that other customers need to pay for it in a competitive marketplace."
In May, total US beef (muscle cut and variety meat) exports rose 3% over last year's levels to 97,820 tonnes valued at US$513.6 million, a 9% increase. They accounted for 10% of beef muscle cut production and 12.7% of beef and variety meat production, similar levels to last year.
For January through May, export volumes dipped 3% to 440,840 tonnes valued at US$2.26 billion, a 3% increase over last year's record-setting pace. The value of beef exports in May equated to US$231.67 per head of fed slaughter, up from US$207.09 last year. The year-to-date export value averaged US$220.59 per head, up more than US$10 from last year's total of US$209.97.
Markets, where access for US beef has improved this year, led the way in May. Japan jumped 74% to 28,122 tonnes, just 8% shy of totals posted in May 2003.
"We were confident that the market for US beef in Japan would rebound when our access expanded," said Seng. "Our team in Japan is working aggressively to explore untapped niches to maintain the growth momentum for beef."
Beef exports also rose to Hong Kong (56% to 7,182 tonnes) while Taiwan's totals increased from 282 tonnes last year to 2,720 tonnes this May. Exports were also steady to higher for: Canada (13,975 tonnes, +1%), Egypt (11,364 tonnes, steady), Central/South America (3,979 tonnes, +15% driven by larger volumes to Chile) and the Caribbean (1,678 tonnes, +2% on larger volumes to Jamaica).
Beef exports to Russia in May fell from 7,906 tonnes last year to four tonnes this year. For the year, exports to Russia are down 99% in volume (from 30,547 tonnes to 35 tonnes) and 99% in value (from US$133.77 million).
Besides Russia, countries, where beef exports remain challenged, include Mexico (15,140 tonnes, -4.5%), South Korea (7,367 tonnes, -33%), and ASEAN (1,372 tonnes, -59% on smaller volumes to Vietnam and the Philippines).
Mexico is buying less beef as consumers turn to more affordable proteins like poultry and pork. US poultry exports to Mexico were up 19% through May to 356,253 tonnes. At the same time, South Korea's increased domestic beef production, combined with lower-priced Australian product, has dampened demand for high-quality US beef.
