Beef Export Demand Soars, Pork Exports Decline
Beef exports continued on a torrid pace in February, while pork exports trended lower. Data released by USDA and compiled by the U.S. Meat Export Federation (USMEF) show growth in beef value exports in key Asian and Latin American markets, while pork exports saw continued decline in demand from China Hang/Kong.
“Rarely have we seen so many outside forces creating headwinds for U.S. meat exports and such uncertainty in the global marketplace,” said USMEF President and CEO Dan Halstrom. “Yet consumer demand for high-quality beef, pork and lamb has proven resilient, and USMEF sees opportunities for further growth in both established and emerging markets.”
Beef exports have increased 9% during the first two months of this year while value has soared 46% higher to $1.93 billion. In February, beef exports totaled 108,501 metric tons, up 5%.
“Broad-based growth has become a recurring theme for U.S. beef exports, as international demand has never been higher and global supplies remain tight,” Halstrom said. “We anticipated a lift from COVID-related foodservice restrictions being eased in many destinations. This materialized late last year and in early 2022, although conditions still vary by country. While lockdowns in China and Hong Kong are certainly a setback for foodservice demand, those are the main exceptions as most countries have shifted to more of a living-with-COVID approach.”
Pork exports suffered the first two months of 2022 from logistics challenges and compounded by lower-priced offerings from competitors, USMEF said. Like the U.S., these suppliers are shipping significantly lower volumes to China/Hong Kong, which has pushed more product into other markets at reduced prices.
The value of pork exports fell 14% in February to $541.3 million while volume fell 17% to 198,539 metric tons. Through February, exports were also down 17% in volume (407,347 mt) and 14% in value ($1.1 billion).
“European hog prices jumped sharply in March, climbing about 35% compared to February,” Halstrom explained. “While this came too late to impact our February export results, it could lead to more favorable market conditions going forward.”
