Audio: Despite Unrest in Egypt, U.S. Beef Exports Remain Strong
Published: Jul 22, 2013
00:00 / 00:00
You may download the audio file here
For the past several years, Egypt has been a key market for U.S. beef exports – especially for exports of livers and other variety meat. Through May, Egypt was this year’s fourth-largest beef export market by volume at 59,170 metric tons – an increase of 12 percent from a year ago.
Dan Halstrom, U.S. Meat Export Federation (USMEF) senior vice president for marketing and communications, says that while the U.S. beef industry is understandably concerned about political unrest in Egypt, exports continue to move smoothly into the market. Halstrom is in frequent contact with USMEF representatives in Cairo who report that beef demand remains strong, ports are operating in a secure and reliable manner and the Egyptian currency has been relatively stable. These are all import factors in keeping beef exports flowing to this important destination.
The value of U.S. beef exports to Egypt ($70.2 million) is 12 percent lower than a year ago, but Halstrom explains that this is unrelated to the political situation. He says it has much more to do with Russia’s suspension of beef imports from the United States, which took effect in early February. Because Russia was also a key market for U.S. beef livers, this has had a negative impact on price.
TRANSCRIPT:
JOE SCHUELE: In this U.S. Meat Export Federation report we speak with Dan Halstrom, USMEF’s Senior Vice President for Marketing and Communications about beef exports to Egypt. Egypt is a key market for U.S. exports of beef livers and other variety meat. Halstrom says that while the U.S. beef industry is understandably concerned about the political unrest in Egypt exports continue to move smoothly into the market.
DAN HALSTROM: Egypt is one of our staple markets on the beef side. We do have staff on the ground in Cairo in regards to the recent changes with presidency and protests and things like this, the effect on the beef trade has been minimal at best. Security through the Suez Canal and the ports in general has been good. Product continues to flow, commercially demand is still good, exchange rate is relatively stable and liquidity, the ability to convert the Egyptian currency into U.S. dollars appears to be unaffected so I think all in all it is a good news story in the sense that the normal supply and demand economics are still in place and that they are short supply and that there is increased demand for U.S. beef products.
JOE SCHUELE: The value of U.S. beef exports to Egypt is lower than a year ago but Halstrom explains that this is unrelated to the political situation.
DAN HALSTROM: Year-to-date we are up 12 percent volume wise, the value is down slightly and that is probably an issue more with product mix. Some of the products such as beef livers are common not only to Egypt but very high demand going to Russia as well, and what we have seen with Russia being closed this year that has put some downward pressure on the price. So on the demand side, demand is still very good on beef livers going to Egypt the price is just a little bit lower, so it really has nothing to do with the recent changes.
JOE SCHUELE: For more on this and other trade issues please visit USMEF.org. For the U.S. Meat Export Federation, I’m Joe Schuele.
Dan Halstrom, U.S. Meat Export Federation (USMEF) senior vice president for marketing and communications, says that while the U.S. beef industry is understandably concerned about political unrest in Egypt, exports continue to move smoothly into the market. Halstrom is in frequent contact with USMEF representatives in Cairo who report that beef demand remains strong, ports are operating in a secure and reliable manner and the Egyptian currency has been relatively stable. These are all import factors in keeping beef exports flowing to this important destination.
The value of U.S. beef exports to Egypt ($70.2 million) is 12 percent lower than a year ago, but Halstrom explains that this is unrelated to the political situation. He says it has much more to do with Russia’s suspension of beef imports from the United States, which took effect in early February. Because Russia was also a key market for U.S. beef livers, this has had a negative impact on price.
TRANSCRIPT:
JOE SCHUELE: In this U.S. Meat Export Federation report we speak with Dan Halstrom, USMEF’s Senior Vice President for Marketing and Communications about beef exports to Egypt. Egypt is a key market for U.S. exports of beef livers and other variety meat. Halstrom says that while the U.S. beef industry is understandably concerned about the political unrest in Egypt exports continue to move smoothly into the market.
DAN HALSTROM: Egypt is one of our staple markets on the beef side. We do have staff on the ground in Cairo in regards to the recent changes with presidency and protests and things like this, the effect on the beef trade has been minimal at best. Security through the Suez Canal and the ports in general has been good. Product continues to flow, commercially demand is still good, exchange rate is relatively stable and liquidity, the ability to convert the Egyptian currency into U.S. dollars appears to be unaffected so I think all in all it is a good news story in the sense that the normal supply and demand economics are still in place and that they are short supply and that there is increased demand for U.S. beef products.
JOE SCHUELE: The value of U.S. beef exports to Egypt is lower than a year ago but Halstrom explains that this is unrelated to the political situation.
DAN HALSTROM: Year-to-date we are up 12 percent volume wise, the value is down slightly and that is probably an issue more with product mix. Some of the products such as beef livers are common not only to Egypt but very high demand going to Russia as well, and what we have seen with Russia being closed this year that has put some downward pressure on the price. So on the demand side, demand is still very good on beef livers going to Egypt the price is just a little bit lower, so it really has nothing to do with the recent changes.
JOE SCHUELE: For more on this and other trade issues please visit USMEF.org. For the U.S. Meat Export Federation, I’m Joe Schuele.