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US imported beef market floats higher again
09 June 2016
There were a couple of key factors supporting imported beef prices in the US this week, according to the latest update from the Steiner Consulting Group. The first is the beginning of the seasonal slowdown of New Zealand beef on the market, and the second is the upward movement in US domestic beef prices (especially grilling and barbecue primals) – pulling imported product with it.
The indicative imported 90CL beef price rose 4US¢ this week, to 199US¢/lb CIF (down 0.1A¢, to 592.1A¢/kg CIF, as a result of the A$ appreciating relative to the US$). All other reported categories were steady to higher as well.
US-produced fat trimmings have increased sharply in price in the last week or so, but have been quite volatile through 2016, so they are by no means guaranteed to remain high. If they do keep getting dearer, it could put pressure on the lean end of the market (which is a large proportion of Australia’s exports to the US) as manufacturers try to keep their formula pricing down through the US summer.
