Beef exports set new value records by early 2011 -

Beef export value for October was $452 million, pushing the 2011 total to a new annual record of $4.49 billion. This is 37 percent ahead of the then-record pace established in the first 10 months of 2010.

“Establishing new annual value records just 10 months into the year is an extraordinary accomplishment, and one that the U.S. pork and beef industries should be very proud of,” said USMEF President and CEO Philip Seng. “Sustaining an aggressive export pace is critical for maintaining and creating American jobs and a positive balance of trade.”

October beef export volume was 105,912 metric tons. This was 10 percent higher than October 2010 and pushed the 2011 volume total (1.073 million metric tons) 24 percent ahead of last year’s pace. October beef exports equated to 11 percent of beef muscle cut production and 13.9 percent of total production when including variety meat, which was consistent with the year-to-date ratio. This compares to 9 percent of beef muscle cut production and 11.7 percent of beef plus beef variety meat production exported last year. Exports equated to nearly $210 per head of fed slaughter in October, pushing the 2011 total to $202.82 per head. This is nearly $50 per head higher than last year’s average of $153.09.

Despite being down slightly in October, Mexico remains this year’s leading volume destination for U.S. beef at 213,004 (up 6 percent over the first 10 months of 2010). Mexico was the export value leader in October at $85.3 million, pushing the 2011 total 25 percent higher than last year at $818.2 million.

Canada held its position as the top value market for U.S. beef in the first 10 months of 2011 at $861.9 million (a new annual record), up 46 percent over the 2010 pace. Volume for the year is up nearly 30 percent to 159,396 metric tons, also a new record. October results were impressive, with a volume of 14,175 metric tons valued at just under $74 million.

Japan is the third-largest individual market in terms of both volume (133,870 metric tons) and value ($726.9 million). These totals exceed last year’s pace by 30 percent and 38 percent, respectively. October export volume was down slightly from last year at 12,631 metric tons, but value was 13 percent higher at $73.7 million.

Beef exports to South Korea maintained a very strong pace, pushing the 2011 volume to 129,810 metric tons (up 43 percent from last year) valued at nearly $575 million up (36 percent).

“The continued rebuilding of consumer confidence in U.S. beef in both Japan and Korea is essential as these key markets recover sales volume and value that was lost in the post-BSE years,” said Seng. “The ‘We Care’ campaign in Japan and the ‘To Trust’ campaign in Korea have sown seeds that continue to yield positive results for the U.S. industry.”

Strong exports to Egypt helped push the Middle East to an impressive 2011 volume of 145,457 metric tons, valued at $287.7 million – increases of 39 percent and 44 percent, respectively, over last year’s pace and setting new annuals records for both volume and value.

Exports to Russia set a new value record at $222.3 million, which exceeds last year’s pace by 66 percent. Strong export performance in Russia has allowed the United States to already fill its 2011 tariff rate quota for beef muscle cuts of 42,700 metric tons.

Exports to the Central and South America region have also set new annual volume and value records of 21,418 metric tons valued at $66.3 million, led by strong growth to Chile, Peru and Guatemala.