Australian October Beef Exports Surge05 November 2012
AUSTRALIA - Department of Agriculture, Forestry and Fisheries records show Australian beef and veal exports were just short of the all-time monthly record in October. Surging 12 per cent year-on-year, to 94,147 tonnes swt – the largest October level ever and the third highest volume on record.
While the surge in export volumes is positive news, the rise in shipments was underpinned by increasing supplies and lower prices, not a significant improvement in demand or trading conditions.
Shipments to Japan fell 18 per cent year-on-year, to 24,537 tonnes swt, with ongoing weak consumer sentiment and increased competition continuing to place downward pressure on demand for Australian beef.
Exports to the US during October increased 57 per cent year-on-year, to 19,135 tonnes swt, although this is compared to a very low October 2011. Shipments to the US continue to be a bright spot for exporters during 2012, underpinned by high manufacturing beef prices and tight US supplies.
Shipments to Korea reached their highest monthly total so far in 2012, jumping 25 per cent on September and 20 per cent year-on-year, to 14,683 tonnes swt. Korean beef importers reported that the kick in exports for the month can be largely attributed to specific cut shortages, uncertainty around US beef supplies and advanced preparations for Lunar Year celebrations on 23 January next year.
Soaring to a new record, exports to China surged during October, registering a massive 611 per cent year-on-year increase in shipments, to 7,524 tonnes swt. Putting this volume into perspective, the monthly volume was only slightly below the combined 2011 export total.
Exports to Philippines for the month also smashed the previous record during October, rising 142 per cent year-on-year and 131% on the five-year average, to 3,650 tonnes swt.
Exports to both the Middle East (3,079 tonnes swt) and the EU (1,806 tonnes swt) during October were the largest monthly volume so far in 2012, with shipments increasing 15 per cent and 69 per cent year-on-year, respectively. However, exports to Taiwan (3,100 tonnes swt), Indonesia (2,594 tonnes swt) and Russia (2,085 tonnes swt) were all lower, falling 12 per cent, 41 per cent and 44 per cent year-on-year, respectively.
This news coincides with Goat meat exports which have reached a monthly record high at 4,042 tonnes swt exported. This is partly due to demand in the US, Australian goat meat's primary destination, increasing causing a 133 per cent year on year surge last month.