December 28, 2020

 

US October pork exports solidify 2020's record pace

 

 

US pork exports posted broad-based gains in October, solidifying 2020's record pace, according to data released by USDA and compiled by the US Meat Export Federation (USMEF).

 

October pork exports were up 8% year-over-year to 242,536 tonnes, with value also increasing 8% to $641.1 million. Through the first 10 months of the year, exports were 15% ahead of last year's record pace at 2.46 million tonnes, with value up 16% to US$6.33 billion.

 

Pork export value averaged US$53.35 per head slaughtered in October, up 11% from a year ago, pushing the January-October average to US$58.05 (up 14%).

 

China/Hong Kong remains this year's leading destination for US pork exports, but several key markets showed rising momentum in October

 

Exports to Japan were the largest since April at 34,854 tonnes (up 18% from a year ago), valued at US$146.9 million (up 20%). These results pushed January-October exports to Japan 4% above last year's pace in volume (318,962 tonnes) and 6% higher in value (US$1.34 billion). US pork continues to increase its share of Japan's ground seasoned pork imports, which is now 72% compared to 57% last year. Value of these imports reached US$275 million through October, up 51% year-over-year, reflecting tariff reductions in the US-Japan trade agreement and strong consumer demand for sausages and other processed pork products.

 

October pork exports to Mexico were the largest since March at 60,798 tonnes, up 11% from a year ago, valued at US$104.8 million (up 8%). January-October exports to Mexico were still down 6% in volume (551,691 tonnes) and 12% in value (US$895.5 million) from a year ago, but US pork is well-positioned for a strong finish to 2020 in Mexico.

 

Through October, Mexico took 69% of US bone-in ham and shoulder exports with volume of nearly 370,000 tonnes (up 3% from a year ago). For the third consecutive month, the country was the leading volume destination for US pork muscle cuts in October at 50,304 tonnes, up 14% from a year ago.

 

Though below 2019 levels, pork exports to Central and South America were also the largest since March. Led by strong performances in Honduras and Panama, October exports to Central America reached 8,853 tonnes valued at US$21.2 million, each down slightly year-over-year. Through October, exports to the region trailed last year's pace by 2% in both volume (75,637 tonnes) and value (US$182.5 million).

 

A surge in exports to Chile pushed October exports to South America to 12,941 tonnes (down 7% from a year ago) valued at US$30.5 million (down 15%). January-October exports to South America remained 25% below last year's pace in volume (96,651 tonnes) and 26% lower in value (US$238.7 million), but demand in the region continues to show signs of recovery.

 

January-October highlights for US pork exports include:

 

- Pork exports to China/Hong Kong remained well above year-ago levels in October but made up a significantly smaller share of total US shipments when compared to totals posted earlier this year. October exports were 70,865 tonnes, up 16% from a year ago, valued at US$157.5 million (up 11%). Through October, exports to China/Hong Kong were 86% above last year's pace in volume (871,612 tonnes) and 104% higher in value at just under US$2 billion.

 

- Led by a recent surge in demand in the Philippines and a very strong year in Vietnam, pork exports to the ASEAN were 32% above last year's pace in volume (67,158 tonnes) and 44% higher in value (US$159.2 million).

 

- Strong demand in the Dominican Republic and Trinidad and Tobago pushed exports to the Caribbean 5% above last year's pace at 46,577 tonnes, while value was steady at US$109.5 million. Led by a large increase in retail sales, exports to Trinidad and Tobago (4,760 tonnes, up 23%) have already exceeded the previous annual record. Trinidad and Tobago has emerged as an especially strong destination for pork variety meat, with shipments up 39% from a year ago to 1,505 tonnes, valued at US$2.6 million (up 45%).

 

- Pork exports to Canada are on the strongest pace since 2013, with January-October shipments up 7% from a year ago in both volume (189,776 tonnes) and value (US$709 million). This growth comes despite a 4% increase in Canada's 2020 pork production. However, Canada's January-October pork exports were up 21% to 1.16 million tonnes, led by a large increase to China (530,000 tonnes, +147%).

 

- USMEF