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Indian Beef Export Growth Slowing But Still World Number One

30 June 2015

INDIA – Growth of India’s beef exports is slowing and will continue to do so, according to a Rabobank report.

Fewer male buffaloes is the reason given in Rabobank's beef quarterly report for export growth forecasts declining to eight to ten per cent.

Rabobank said its forecast was “more reflective” of growth in the dairy herd.

This follows last year’s growth rate contraction from around 30 per cent to 11 per cent.

Strong export demand pushed the buffalo inventory down in 2009, resulting in a four per cent drop in male numbers from the previous census at the last livestock census in 2012.  

In 2014, production reached 4.1 million tonnes cwt, exports reached 2.1 million tonnes cwt and export earnings broke records at $4.7 billion.

This put India fourth for beef production and top for world beef exports, with Viet Nam as India’s largest export market.

Infrastructure has reacted to growth in exports and production. In 2012 there were 37 approved plants, whereas now there are 53, the report explained.

However, Rabobank stressed that much of this is believed to head to China, which is “clamping down” on beef movement from Viet Nam and Thailand.

The report said trading arrangements with China hinge on a memorandum of understanding since in 2013 with no official access. The report urged India to seek more markets in the future to avoid being exposure to China.

Rabobank noted India’s success re-entry to Russia after being banned for phytosanitary reasons. Processors approved for Russian access was due to more than double from four to 10 in late 2014 with status pending on six sites. 

Summarising global beef price performance, the report tracked world prices as being comfortably above the 2009 to 2013 average, although there had been a drop from a peak in October 2014.

Michael Priestley

Michael Priestley
News Team - Editor

Mainly production and market stories on ruminants sector. Works closely with sustainability consultants at FAI Farms


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