US imported beef prices drift lower

US imported beef prices continued to drift lower this week, as overseas packers were reluctant to accept lower US bids. Steiner Consulting Group report that trading volumes were light and any business was settled under week ago levels.

The imported 90CL beef indicator fell 0.5US¢ from week-ago levels, to 200.39US¢/lb CIF (down 8A¢, to 558.46A¢/kg CIF).

Imported lean 90CL frozen beef is now trading at a significant discount to domestic fresh beef. Steiner Consulting Group reports that this is uncommon for the time of year, when traditionally the gap between imports and domestic beef narrows. Downward pressure is being applied to imported beef prices by declining US fed cattle prices and the prospect of lower domestic beef prices in the Autumn.

New Zealand supplies remain limited as the end of the production season approaches. Improving slaughter numbers from Australia has somewhat increased spot availability. Australian eastern states slaughter for the week ending 18^th August was 14% higher year-on-year, at 126,000 head.

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