Strong Demand for U.S. Beef in Mexico, Korea, Europe and Africa Despite Overall Export Shortfall

Following remarkable export totals posted in the first half of 2022, this year has continued to fall short, U.S. Meat Export Federation reports using data from USDA.

April beef exports were 10% below last year, totaling 111,416 metric tons, while value fell 18% to $859.5 million, according to the report. Additionally, in the first four months of 2023, beef exports fell 8% in volume to 437,910 mt and were 21% lower in value ($3.21 billion) year-over-year.

USMEF President and CEO Dan Halstrom says, “With U.S. beef supplies tightening, it’s difficult to keep pace with the remarkable export totals posted in the first half of 2022, but exports continue to account for a similar share of production as last year’s record.” 

A rebound in travel, tourism and other foodservice opportunities has continued to support beef demand abroad, he adds, and some countries have seen recent easing of inflationary pressure on consumers’ discretionary income.

Despite lower totals overall in U.S. beef exports, Mexico, Korea, Europe and Africa showed strong demand for U.S. beef. in April’s totals.

The leading destination for U.S. beef variety meats, Mexico’s strong peso and robust foodservice demand fueled April shipments to total 14,403 mt, up 10% from 2022, while value increased 18% to $81.8 million. Exports to Mexico in the first four months of 2023 increased 14% to 64,912 mt with a value of $365.4 million (up 17%). 

With easing inflation in South Korea, exports to the country exceeded last April’s volume by 7%, totaling 24,825 mt. Though, export value was $201.8 million, down 13% from last year. Additionally, exports to the country in January through April were down 10% from 2022 ( 88,708 mt) valued at $707.1 million (down 31%). 

The European Union, along with the United Kingdom, posted the largest month in U.S. beef exports since September 2019, despite their restriction on imports of beef from non-hormone-treated cattle. Exports totaled 2,345 mt (up 25%) with value increasing 32% to $31.4 million. Since the start of 2023, exports over the first four months climbed 14% to 7,176 mt, reaching $89.8 million in value.

Though British demand accounted for some of the growth, the lack of duty-free access to the UK will likely put U.S. beef at a severe disadvantage following the UK’s recently implemented free trade agreements with Australia and New Zealand. Additionally, for 2023, the U.S. specific share of the EU’s duty-free High-Quality Beef Quota is 27,800 mt.

Also showing strong demand for U.S. beef variety meat, South Africa continues to be a bright spot for U.S. beef exports in 2023. Nearly doubled from last year, April exports increased 96% to 1,374 mt and valued $1.5 million (up 70%). From January to April, exports were 7,199 mt, up 162%, with value reaching $7.8 million, up 165%.

Peru, China/Hong Kong and the Caribbean also posted fairly strong April totals, while Japan slumped, posting the lowest total since February 2016.

Overall, April beef export value equated to $441.70 per head of fed slaughter, down 10% from last year but the highest since July. The January through April per-head average was $389.53, down 19% from 2022. 

Additionally, April exports accounted for 15.7% of total beef production and 13.5% for muscle cuts only Through April, exports accounted for 14.4% of total production and 12.2% for muscle cuts, each down about one-half percentage point from a year ago, says the report.

More information on the April U.S. beef exports can be found on the USMEF website.