November 29, 2010

Korean demand for Australian beef increases

Korean demand for Australian beef during November has improved due to increased buying in preparation for Lunar Year celebrations in early 2011.

From November 1-22, Australian beef exports to Korea totalled 9,046 tonnes with chilled beef reaching 2,428 tonnes. During last November, Australia exported a total of 10,338 tonnes of beef to Korea; an amount that has a high likelihood of being surpassed this month. From January to October 2010, Australian beef exports to Korea remain 8% above last year's volumes.

Reports from the market show that although export volumes have been strong, specific beef items are still in short supply as overall market demand remains robust. This has caused average prices in the Korean wholesale market for most imported beef cuts in November to be more than the same period last year.

Korean beef imports in October increased 17% on the same month last year and 22% on the previous month. Australian product increased 6% on-year and 20% from September. Market share for Australia in the imported beef market stands at 53% from January to October, with total Australian imports increasing by 19%. US beef holds a 32% share, while New Zealand and Mexico make up 14% and 1%, respectively.