Beef Exports Continue Record Pace

U.S. beef exports remained strong in June, pushing export values to a record level for the first half of the year, according to USDA statistics and compiled by the U.S. Meat Export Federation (USMEF), a contractor to the beef checkoff.

Beef exports were up 5 percent in volume to about 235 million pounds in June and set a new monthly value record of $631.7 million – up 12 percent from June 2013. Export values also set a new record of $3.27 billion for the first six months of 2014, export – up 16 percent from the record set during the same period last year. Export volume for the six-month period reached nearly 1.3 billion pounds, representing an 8 percent increases year-on-year, but trailing the volume record set in 2011.

June beef export value nearly $300 per head

Beef export value per head of fed slaughter set another new record in June at $299.14, up $38.93 from a year earlier. The ratio of U.S. production exported was 12 percent for muscle cuts and 15 percent for muscle cuts and variety meat combined – up from 11 percent and 14 percent, respectively, a year ago.

“Seeing beef export value per head approach $300 is really remarkable,” USMEF President and CEO Philip Seng said. “Just four years ago, export value was about $150 per head, and we broke $200 per head for the first time ever in 2011. This shows just how important the international markets are for delivering strong returns to the producer.”

First-half 2014 highlights for U.S. beef exports included:

• Momentum continued in Korea, as exports increased 11 percent in volume to about 125 million pounds and 40 percent in value to $379.5 million. Strong demand from retail outlets and restaurants helped fuel a 50-percent increase in beef muscle cut value ($362.6 million) to Korea.

• Exports to Hong Kong increased 55 percent in volume to 158 million pounds and 76 percent in value to $492.5 million. U.S. beef regained full access to Hong Kong in mid-June, adding key products such as ground beef and processed meats, which should help exports maintain a strong pace in the second half of the year

• Export volume to Japan slowed slightly from a year ago, down 3 percent to about 245 million pounds, though the value of those exports was steady at $693.6 million. Japanese import data show that U.S. beef continues to gain market share, as imports were lower from all other main suppliers.