Brisk U.S. Beef Sales to Ru

Brisk U.S. Beef Sales to Russia
Year-to-date exports up 32 percent

Russia was the second-largest export sales destination for U.S. beef during the week of June 20-26 with reported sales at 2,200 metric tons (4.8 million pounds) and actual weekly exports totaling 1,000 metric tons (2.2 million pounds), making Russia the fourth-largest destination after Mexico, Japan and Canada, according to Erin Daley, manager of research and analysis at the U.S. Meat Export Federation (USMEF).  Overall, total net beef export sales of 9,500 metric tons (20.9 million pounds) for the week were closer to the yearly average after the prior week’s surge to 14,700 metric tons (32.4 million pounds).

Assisted by strong export sales, the choice cut-out for U.S. beef gained $6 per cwt last week and close to $7 per cwt this week to reach $171 per cwt yesterday compared to $157 per cwt in the first week of June and up from $140 per cwt in July 2007. Chuck and round primals gained $7 per cwt and $8 per cwt respectively over the past week and $25 per cwt and $33 per cwt compared to last year.

Daley noted that this counter-seasonal move to higher prices reflects relatively tight beef supplies, a tremendous drop in U.S. beef imports (exports from Australia and Uruguay being diverted to Russia), strong export demand, and strong domestic retail consumer demand. Prices may continue to rise after the July 4 weekend, especially in the fourth quarter, as supplies tighten further. Live cattle futures prices are currently trading at $104 per cwt for August, $114 per cwt for December and $116.7 per cwt for April 2009.

“Beef prices will have to continue their upward trend to support these high live cattle futures prices and the rising price of corn,” said Daley.

The following summary for weekly beef exports is based on reports to the USDA’s Foreign Agricultural Service from exporters for the period June 20-26, 2008.

Net sales of 9,500 metric tons (20.9 million pounds) were primarily to Mexico, 4,700 metric tons (10.3 million pounds); Russia, 2,200 metric tons (4.8 million pounds); Canada, 1,300 metric tons (2.9 million pounds); Taiwan, 400 metric tons (881,848 pounds); Japan, 300 metric tons (661,386 pounds) and Vietnam, 200 metric tons (440,924 pounds). 

Exports of 10,700 metric tons (23.6 million pounds) were mainly to Mexico, 4,600 metric tons (10.1 million pounds); Japan, 1,900 metric tons (4.2 million pounds); Canada, 1,300 metric tons (2.9 million pounds); Russia, 1,000 metric tons (2.2 million pounds); Vietnam, 900 metric tons (2.0 million pounds) and Taiwan, 500 metric tons (1.1 million pounds). 

Following are the year-to-date export sales compared to the same period last year (January-June):

 Mexico  Up 4 percent to 115,069 metric tons                (253.7 million pounds)  Canada  Up 48 percent to 37,815 metric tons  (83.4 million pounds)  Japan  Up 76 percent to 24,683 metric tons  (54.4 million pounds  Vietnam  Up 569 percent to 18,971 metric tons  (41.8 million pounds)  Taiwan  Up 45 percent to 11,786 metric tons  (26.0 million pounds)  Russia  5,031 metric tons (11.1 million pounds)  compared to 353 metric tons (778,231 pounds) during the same period in 2003  Albania  Up 137 percent to 3,591 metric tons  (7.9 million pounds)  Hong Kong  Down 3 percent to 3,457 metric tons  (7.6 million pounds)  Moldova  Up 264 percent to 2,741 metric tons  (6.04 million pounds)  EU-27  Up 236 percent to 943 metric tons  (2.1 million pounds)  Egypt  1,245 metric tons  (2.7 million pounds) compared to zero last year  Peru  Up 165 percent to 537 metric tons  (1.2 million pounds) Philippines  Up 90 percent to 750 metric tons (16.5 million pounds) UAE Up 71 percent to 339 metric tons (747,366 pounds)

 

 

 

 

 

 

 

 

 

Total accumulated exports: 228,479 metric tons (503.7 million pounds), up 32 percent from last year, but trailing 2003 volumes which totaled 373,837 metric tons (824.2 million pounds) during the corresponding January through June period.

In 2003, 61 percent of accumulated exports were to Japan and Korea and this year exports to Japan accounted for just 11 percent of the accumulated (year-to-date) exports.

 

Japan: FSIS Cautions Exporters to Ensure No Ineligible Beef Products

The Food Safety & Inspection Service (FSIS) has added a note of caution in its requirements for beef exports to Japan:

Exporting establishments are cautioned that great care should be taken when assembling shipments of beef products for export to Japan. In particular, exporting establishments should establish and enforce sufficient management controls to prevent the inclusion of ineligible beef products in any box or other container that is exported to Japan.

Brisk U.S. Beef Sales to Russia
Year-to-date exports up 32 percent

Russia was the second-largest export sales destination for U.S. beef during the week of June 20-26 with reported sales at 2,200 metric tons (4.8 million pounds) and actual weekly exports totaling 1,000 metric tons (2.2 million pounds), making Russia the fourth-largest destination after Mexico, Japan and Canada, according to Erin Daley, manager of research and analysis at the U.S. Meat Export Federation (USMEF).  Overall, total net beef export sales of 9,500 metric tons (20.9 million pounds) for the week were closer to the yearly average after the prior week’s surge to 14,700 metric tons (32.4 million pounds).

Assisted by strong export sales, the choice cut-out for U.S. beef gained $6 per cwt last week and close to $7 per cwt this week to reach $171 per cwt yesterday compared to $157 per cwt in the first week of June and up from $140 per cwt in July 2007. Chuck and round primals gained $7 per cwt and $8 per cwt respectively over the past week and $25 per cwt and $33 per cwt compared to last year.

Daley noted that this counter-seasonal move to higher prices reflects relatively tight beef supplies, a tremendous drop in U.S. beef imports (exports from Australia and Uruguay being diverted to Russia), strong export demand, and strong domestic retail consumer demand. Prices may continue to rise after the July 4 weekend, especially in the fourth quarter, as supplies tighten further. Live cattle futures prices are currently trading at $104 per cwt for August, $114 per cwt for December and $116.7 per cwt for April 2009.

“Beef prices will have to continue their upward trend to support these high live cattle futures prices and the rising price of corn,” said Daley.

The following summary for weekly beef exports is based on reports to the USDA’s Foreign Agricultural Service from exporters for the period June 20-26, 2008.

Net sales of 9,500 metric tons (20.9 million pounds) were primarily to Mexico, 4,700 metric tons (10.3 million pounds); Russia, 2,200 metric tons (4.8 million pounds); Canada, 1,300 metric tons (2.9 million pounds); Taiwan, 400 metric tons (881,848 pounds); Japan, 300 metric tons (661,386 pounds) and Vietnam, 200 metric tons (440,924 pounds). 

Exports of 10,700 metric tons (23.6 million pounds) were mainly to Mexico, 4,600 metric tons (10.1 million pounds); Japan, 1,900 metric tons (4.2 million pounds); Canada, 1,300 metric tons (2.9 million pounds); Russia, 1,000 metric tons (2.2 million pounds); Vietnam, 900 metric tons (2.0 million pounds) and Taiwan, 500 metric tons (1.1 million pounds). 

Following are the year-to-date export sales compared to the same period last year (January-June):

 Mexico  Up 4 percent to 115,069 metric tons                (253.7 million pounds)  Canada  Up 48 percent to 37,815 metric tons  (83.4 million pounds)  Japan  Up 76 percent to 24,683 metric tons  (54.4 million pounds  Vietnam  Up 569 percent to 18,971 metric tons  (41.8 million pounds)  Taiwan  Up 45 percent to 11,786 metric tons  (26.0 million pounds)  Russia  5,031 metric tons (11.1 million pounds)  compared to 353 metric tons (778,231 pounds) during the same period in 2003  Albania  Up 137 percent to 3,591 metric tons  (7.9 million pounds)  Hong Kong  Down 3 percent to 3,457 metric tons  (7.6 million pounds)  Moldova  Up 264 percent to 2,741 metric tons  (6.04 million pounds)  EU-27  Up 236 percent to 943 metric tons  (2.1 million pounds)  Egypt  1,245 metric tons  (2.7 million pounds) compared to zero last year  Peru  Up 165 percent to 537 metric tons  (1.2 million pounds) Philippines  Up 90 percent to 750 metric tons (16.5 million pounds) UAE Up 71 percent to 339 metric tons (747,366 pounds)

 

 

 

 

 

 

 

 

 

Total accumulated exports: 228,479 metric tons (503.7 million pounds), up 32 percent from last year, but trailing 2003 volumes which totaled 373,837 metric tons (824.2 million pounds) during the corresponding January through June period.

In 2003, 61 percent of accumulated exports were to Japan and Korea and this year exports to Japan accounted for just 11 percent of the accumulated (year-to-date) exports.

 

Japan: FSIS Cautions Exporters to Ensure No Ineligible Beef Products

The Food Safety & Inspection Service (FSIS) has added a note of caution in its requirements for beef exports to Japan:

Exporting establishments are cautioned that great care should be taken when assembling shipments of beef products for export to Japan. In particular, exporting establishments should establish and enforce sufficient management controls to prevent the inclusion of ineligible beef products in any box or other container that is exported to Japan.