A strong lamb story

The Department of Agriculture, Fisheries and Forestry (DAFF) trade data for August shows that the USA continue to favour Aussie lamb, but other export destinations are gaining pace too, pushing the total lamb trade volumes to uncharacteristically strong levels for this time in the year.

Total lamb exports for August hit 26,196 tonnes swt which is the highest August lamb trade volumes on record. August 2021 was the previous best month for August lamb trade flows and this year we’re sitting 13% above that record. Compared to the five-year average for August current volumes are 32% above trend signifying some solid growth the lamb demand from offshore consumers.

The USA continue their stellar run with lamb export volumes over August lifting 9% over the month to reach 7,070 tonnes swt. While this is still a fraction short of the 7,219 tonnes seen in August 2021 it is still 56% higher than the August average set over the last five years. For the year to date Aussie lamb exports to the USA are running 27% above the average pattern. Over the same time period last season flows to the USA were 23% above the average trend demonstrating that the USA continues to be a growth market for Aussie lamb.

Chinese demand for Aussie lamb has been somewhat lacklustre in the first half of 2022, but August has seen volumes lift above the average pattern for the first time this year. China took 4,982 tonnes of lamb in August, which represents an 11% gain on the flows seen in July and levels that are 15% above the August average pattern, according to the last five years of trade data.

Australian lamb exports to “other destinations” (excluding USA & China) saw a good pickup in August. Monthly volumes gained 24% to hit 14,144 tonnes swt. This level of lamb exports represents volumes that are nearly 30% above the five-year average for August. Trade to key destinations like PNG showed some good strength to see monthly levels for August sitting 108% above the August five-year average.