NZ beef exports lower towards season’s end

In August, New Zealand (NZ) beef exports decreased 2% on the same time last year – at just over 24,300 tonnes swt – with reduced shipments to both the US and China contributing to the decline for the month (Statistics NZ).

With one month remaining in the 2015-16 NZ production season, beef shipments reached just over 401,300 tonnes swt for the October to August period – a slight decrease (1%) on the corresponding period the year prior.

The overall decline in beef exports for the 11 months to August were driven by lower shipments to the US and Japan, compared to last year, although larger volumes were recorded to a number of other major markets:

• the US declined 11%, to 194,839 tonnes swt
• China increased 25%, to 71,579 tonnes swt
• South East Asia increased 3%, to 23,656 tonnes swt
• Taiwan increased 24%, to 25, 349 tonnes swt
• Canada increased 29%, to 20,059 tonnes swt
• Japan decreased 18%, to 14,052 tonnes swt

In recent weeks, AgriHQ report that a steady decline in US imported beef prices has added further pressure to NZ exporters – underpinned by rising US beef production. However, according to AgriHQ, reduced Australian beef supplies combined with lower NZ slaughter has resulted in firmer demand and prices from some North Asian markets, relative to the US.