December 11, 2008

Japan's beef consumption in October fell 2 percent below the same time last year, to 69,234 tonnes (boneless equivalent), according to beef supply and demand data released last week by the Agriculture & Livestock Industries Corporation of Japan (ALIC).

Consumption of imported beef reached 38,335 tonnes in October, 461 tonnes lower than the same time last year. Considering the significant fall in consumption during September this year, down 26 percent year-on-year to 32,528 tonnes, October figures indicates some recovery in consumption, possibly due to the lower A$ since mid October, and subsequent price reductions that have occurred at wholesale and retail or foodservice sectors.

Japan's domestic beef stocks as at the end of October were the highest since November 2002, at 14,310 tonnes, up 38 percent in last October. Consumption of domestic beef this year has been relatively firm this year, however, demand has not caught up with increased production, resulting in a significant lift in frozen domestic beef stocks to 13,364 tonnes, 42 percent more than October 2007.