Market Export values hit new highs
This large increase has been driven by drought-induced stock turn off, strong demand from many key export markets and a dropping Australian dollar assisting the competitiveness of Australian exports. Despite the strong start to the year, supply is expected to tighten across both beef and sheepmeat as the year progresses, particularly if there is a significant break in the weather.
The US remains Australia’s most valuable export market with China, on the back of 87% value growth so far this year, currently the second largest market.
Australian beef exports reached A$2.95 bn. for the year-to-April, up 27% on last year and surpassing our previous high in 2015. This was partly driven by surging supply, but also strong export prices, which are up 11% on year-ago levels to A$7.82/kg.
Australia’s largest market for boxed beef exports remains Japan, however both the US and China are close behind, on the back of significant market growth so far this year, increasing 29% and 89% respectively. The split of exports to these three markets are quite different, highlighted by the difference in the proportion of chilled exports to each with China at 13%, US with 38% and Japan 59%. Other markets that have experienced strong growth include South Korea, Indonesia, Taiwan and Saudi Arabia.