ANALYSIS: Uruguay’s Beef Exports See 11.3% Monthly Rise in October, Yet Decline 11.9% Y-o-Y

In October 2024, Uruguay’s fresh beef exports reached 28,512 MT, based on the latest data from the Uruguayan National Customs Directorate. This is 11.3% higher than the previous month and marks a 11.9% drop Y-o-Y. On a YTD basis, cumulative exports now stand at 292,422 MT, up by 2.2% compared to the same period last year. Uruguay’s annual performance indicates resilience in export volumes, with exporters adjusting destination strategies in response to fluctuating demand and price conditions...

ANALYSIS: Imported Boneless Beef Trimmings from Argentina to the U.S. Hit All-Time High

According to the latest Meat Passed for Entry Report issued by the Food Safety and Inspection Service (FSIS) released on November 1st, Argentina passed 2,019 MT of boneless trimmings into the United States on the week of October 21st. This marks a record high for Argentine imports to the United States. The last record high spike occurred in September of 2020 when 1,535 MT of boneless trimmings were imported from Argentina. Still, that is a 31.53% increase from the last spike to the most recent one... 

ANALYSIS: US Boneless Beef Imports from Australia Soar, Domestic and Import 90s Gap Grows

The week of October 7th experienced 6,045 MT of boneless beef that cleared for entry into the United States, marking a significant 52-week high. This represents an impressive year-over-year increase of 53.5%. Australia plays a key role in the boneless beef market, exporting lean boneless beef to various countries, with the U.S. accounting for 32.6% of their exports, equating to 37,218 MT in September alone.

Even with more meat available on the market, the price of Aus/NZ...

ANALYSIS: From Cutter Cow to Beef Fresh 90s Price Differences

While price is typically a function of quantity demanded or quantity supplied, there are many factors that contribute to the numeric value one pays; input costs, consumer perception, and price of substitute goods are just a few examples of price factors. In this scenario, we will analyze the difference between an input, or the cutter cow, and the beef fresh 90’s price from packer to first receiver.

Currently, live cutter cows weighing over 500 pounds are selling at an...

ANALYSIS: The Surge in Boneless Beef Imports Amidst Constrained U.S. Herd

The UB Beef Trimmings, 90% Fresh Chemical Lean quotation reached a record weighted average high of $333.25 per hundredweight on March 18, 2024. Meanwhile, according to the USDA’s latest Semi-Annual Cattle Inventory report, the number of beef cows were reported at 28.2 million head, the lowest level since 1961.

With constrained availability of cows in the domestic market and record high pricing for lean trim, end users look to alternatives to satisfy demand.  They have done so quite successfully through imported boneless beef...

ANALYSIS: A Closer Look at Formula vs. Negotiated Sales in the Boneless Beef Segment

In the domestic boneless beef sector, it is widely acknowledged that a significant volume of trade is conducted through formula pricing agreements. This analysis delves into this phenomenon, utilizing the volume reported by the USDA of fresh 50% lean trim as an example.

The chart above illustrates that, for the week ending 2/16/2024, 86.57% of the fresh 50% lean trim traded was priced through formulated agreements. To break this down, out of the total trade volume of 19.28M lbs.,16.69M lbs...

ANALYSIS: January's Shifting Trends in Brazilian Beef Export Dynamics

The recently released  Brazilian export data for January unveiled significant shifts in the beef market, signaling a slightly broader diversification of Brazilian beef export destinations early this year.

While China remains the dominant player, its share saw a slight decline, as frozen boneless beef exports to China dropped by 11.8% from the same time of last year, amounting to a massive volume of 96,329 metric tons (MT) compared to 98,857 MT for the previous January, aligned with a 9.49% reduction in the average price per MT. This decline in prices reflects...