The beef export rollercoaster

The Detail

Australian beef export flows took a downturn in September as a combination of wet weather and meat-works staffing capacity constraints took its toll.  The Department of Agriculture, Fisheries & Forestry (DAFF) trade data for September reported a 23% decline in beef export flows over the month to see just 70,295 tonnes swt exported.

At current beef export trade levels this is the softest September volumes have been since 2005 and monthly beef export levels are running nearly 20% under the five-year average for September with all four top beef trade destinations for Australia recording a down turn in export volumes over the month.

After a strong surge in demand through August South Korean demand for Aussie beef slipped 26% to levels more consistent with the five-year average pattern for September. There was 13,635 tonnes of beef exported from Australia to South Korea over September, just 278 tonnes above the September average level.

Meanwhile the Australian beef trade to Japan recorded its lowest monthly figure since April 2022 with 15,791 tonnes shipped in September. The beef trade to Japan registered a 27% drop in September to place current trade volumes at levels that are 30% under the five-year average pattern for September.

Australian beef exports to China eased by 11% over September to see 14,917 tonnes exported. Despite the drop in trade over the month the beef export volumes from Australia to China managed to remain above the September average level, albeit marginally at just 3% ahead of the five-year average pattern.

Meanwhile, the Aussie beef trade to the USA maintained it’s lacklustre performance slipping 43% over the month to the lowest monthly volumes seen since the start of 2022 with just 8,564 tonnes shipped in September. At current levels the beef trade to the USA is running 53% under the five-year average for September.