Japan | Traders Show Great Interest In U.S. Production Outlook At USMEF Semi...

Japan

Traders Show Great Interest In U.S. Production Outlook At USMEF Seminar

It was standing room only last Friday (Feb. 16) at the Grand Hyatt Tokyo as Japanese importers, distributors, manufacturers, retailers and foodservice representatives gathered for a seminar on the outlook for U.S. pork in the global marketplace and how ethanol demand could affect livestock production in the future.

The Japanese trade has been hearing general information about the impact of ethanol on corn and meat prices, but has not received much detail. Due to declines in imports of frozen products from all countries, especially Denmark, many buyers foresee increased demand for U.S. chilled pork, but there has been concern about ethanol’s impact on price and quality.

USMEF Manager, Research and Analysis Erin Daley said the United States has more than 26 percent market share of pork exports worldwide. According to Daley, the United States has benefited from growth in pork production efficiency, an increasingly export-minded industry, global brand recognition, a weak dollar, and most importantly, consistent production of a high-quality, affordable product.

Daley said competition from Brazil as pork producer and exporter is growing, but foot-and-mouth disease has limited export growth over the past two years. Canada’s exports have been growing, until recently when the strengthening Canadian dollar, combined with increasing costs of production have had a negative impact on Canadian pork trade.

U.S. pork exports are expected to increase 4-5 percent in 2007. To help maintain U.S. red meat competitiveness worldwide, it is important for the United States to maintain its dominance as a corn exporter so the world corn price follows that of U.S. corn.

According to Daley, the United States has a 66 percent market share of global corn exports. Currently around 70 percent of the world corn supply is utilized for livestock feed. But the U.S. ethanol industry is expected to consume around 8 percent of the global 2006-07 corn crop.

Daley said a higher demand for ethanol in the United States could force a shift in feed substitution (to dried distillers grains, for example), fewer numbers of livestock on feed, finishing animals at a lighter weight and putting on more cattle weight outside feedlots.

For more information see the U.S. And Global Outlook: Livestock And Ethanol Production presentation.

After the seminar, guests attended a reception, supported by the Nebraska Corn Board, which featured U.S. pork dishes recently developed by a famous chef and Japanese Diet member for a USMEF pork cookbook.

Japan

Traders Show Great Interest In U.S. Production Outlook At USMEF Seminar

It was standing room only last Friday (Feb. 16) at the Grand Hyatt Tokyo as Japanese importers, distributors, manufacturers, retailers and foodservice representatives gathered for a seminar on the outlook for U.S. pork in the global marketplace and how ethanol demand could affect livestock production in the future.

The Japanese trade has been hearing general information about the impact of ethanol on corn and meat prices, but has not received much detail. Due to declines in imports of frozen products from all countries, especially Denmark, many buyers foresee increased demand for U.S. chilled pork, but there has been concern about ethanol’s impact on price and quality.

USMEF Manager, Research and Analysis Erin Daley said the United States has more than 26 percent market share of pork exports worldwide. According to Daley, the United States has benefited from growth in pork production efficiency, an increasingly export-minded industry, global brand recognition, a weak dollar, and most importantly, consistent production of a high-quality, affordable product.

Daley said competition from Brazil as pork producer and exporter is growing, but foot-and-mouth disease has limited export growth over the past two years. Canada’s exports have been growing, until recently when the strengthening Canadian dollar, combined with increasing costs of production have had a negative impact on Canadian pork trade.

U.S. pork exports are expected to increase 4-5 percent in 2007. To help maintain U.S. red meat competitiveness worldwide, it is important for the United States to maintain its dominance as a corn exporter so the world corn price follows that of U.S. corn.

According to Daley, the United States has a 66 percent market share of global corn exports. Currently around 70 percent of the world corn supply is utilized for livestock feed. But the U.S. ethanol industry is expected to consume around 8 percent of the global 2006-07 corn crop.

Daley said a higher demand for ethanol in the United States could force a shift in feed substitution (to dried distillers grains, for example), fewer numbers of livestock on feed, finishing animals at a lighter weight and putting on more cattle weight outside feedlots.

For more information see the U.S. And Global Outlook: Livestock And Ethanol Production presentation.

After the seminar, guests attended a reception, supported by the Nebraska Corn Board, which featured U.S. pork dishes recently developed by a famous chef and Japanese Diet member for a USMEF pork cookbook.