Tighter European Beef Supplies For 201106 December 2010
EU - The latest results from the European Beef Forecasting Working Group meeting held recently indicate some improvement in the European beef market during 2011 as a further tightening in supplies, stronger international demand and a more stable demand situation help trade, according to Peter Duggan from the Strategic Information Services at Bord Bia.
These developments are expected by the group to have a positive impact on cattle prices as the year progresses.
Beef supplies in 2011 across the European 15 region are forecast to fall by around two per cent to 7.1 million tonnes. Most of the decline in output is evident amongst the key principal suppliers, namely France, Germany and the UK. Combined output from these countries is expected to fall by just over two per cent to 3.56 million tonnes.
Of the other key European suppliers, Spanish output is expected to increase by three per cent to 582,000 tonnes reflecting the recovery in live cattle imports while Polish production is forecast to grow by over two per cent to 425,000 tonnes. Since 2007, Polish output has increased by 17 per cent.
A number of Member States expect a stronger trade to International markets next year driven largely by Turkey and Russia. German exports to international markets are forecast to double to 38,000 tonnes while Spain and Italy are also expected to record higher shipments outside of Europe.
Supplies of beef available for consumption is forecast to fall by around one per cent to 7.3 million tonnes driven by France, Germany and the UK reflecting some expected increase in retail prices during 2011.
TheCattleSite News Desk