US beef exports again topped $1 billion in July and posted the fifth-largest volume on record, according to data released by USDA and compiled by the US Meat Export Federation.
Pork exports remained below last year’s pace but continued to gain strength in Colombia and the Caribbean and stayed above year-ago for Mexico, the leading destination for US pork.
BEEF EXPORTS UP
July beef exports totaled 126,567 tonnes, up 3,824, or 3.12%, from 122,743 a year ago. Export value increased $6.691 million, or 7.12%, to $1.006 billion from $939.090 million last year, topping the $1 billon mark for the sixth time this year.
For the first seven months of 2022, beef exports of 870,471 tonnes increased 47,641 tonnes, or 6.79%, from 822,830 a year ago, valued at $7.197 billion, up $1.616 million, or 29.0%, from $5.581 billion a year ago.
“Global demand for US beef continues to be amazingly resilient, especially at the retail level,” said USMEF President and CEO Dan Halstrom, in a release. “Exports have also benefited from a partial rebound in the foodservice sector but this recovery is far from complete. Many markets are still gradually easing COVID restrictions, so we definitely see opportunities for further growth as restaurant traffic returns. Headwinds remain formidable, however, including further devaluation of key trading partner currencies.”
Beef exports to leading volume market Japan reached 30,726 tonnes in July, up about 8% from a year ago, valued at $231.6 million (up 3%). This pushed January-July exports 1% more than last year’s pace at 186,239 tonnes, while value climbed about 17% to $1.49 billion.
For beef variety meat – mainly tongues and skirts – exports to Japan were steady with last year at 33,581 tonnes but value jumped 38% to nearly $340 million.
PORK EXPORTS STILL WEAKER
US pork exports reached 208,095 tonnes in July, down 13.714 million, or 6.18%, from 221,809 tonnes a year ago, valued at $624.986 million, down $32.271 billion, or 4.91%, from $657.257 million a year ago.
Through July, pork exports were 302 million tonnes, or 16.9% below last year at 1.495 million tonnes, versus 1.797 million, valued at $4.243 billion, down $741 million, or 14.9%, from $4.984 billion last year.
“July pork exports were below last year, but the good news is that the per-unit price of US pork is trending higher in the international marketplace, even while our major competitors’ prices remain below year-ago levels,” Halstrom said. “Export value per head in July reached $67.10, nearly even with year-ago and the highest since last July. We are also encouraged by the recent trendlines for pork variety meat exports, especially to China and Mexico.”
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers this week ranged from $141.49 to $150.00 per cwt, compared with last week’s range of $142.00 to $147.63. FOB dressed steers, and heifers went for $224.12 to $228.00 per cwt, versus $222.42 to $228.22.
The USDA choice cutout Thursday was down $3.33 per cwt at $258.01 while select was down $1.47 at $236.04. The choice/select spread narrowed to $21.97 from $23.83 with 165 loads of fabricated product and 24 loads of trimmings and grinds sold into the spot market.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $2.60 to $2.75 a bushel over the Sep futures, which settled at $6.74 1/2 a bushel and for southwest Kansas were steady at $0.85 over Dec, which settled at $6.68 1/2, down $0.02 1/2.
The CME Feeder Cattle Index for the seven days ended Wednesday was $180.31 per cwt up $1.17. This compares with Thursday’s Sep contract settlement of $182.32, up $0.30.