(NDAgConnection.com) – October exports of U.S. pork were the largest in more than a year and beef export volume also increased from a year ago, according to data released by USDA and compiled by USMEF.
Pork exports reached 238,198 metric tons (mt) in October, up 5% from a year ago and the largest since June 2021. Pork export value increased 13% to $697.3 million, the highest since May 2021. For January through October, pork exports were 12% below last year at 2.18 million mt, valued at $6.26 billion (down 8%).
USMEF President and CEO Dan Halstrom noted that the October pork results were bolstered by outstanding growth in variety meat exports, which set a new value record at $126.2 million. Export volume was the second largest on record at more than 55,000 mt.
“The recent rebound in pork variety meat exports is tremendous news for the U.S. industry on a few different fronts,” Halstrom said. “While exports to China have regained momentum, our ongoing efforts to diversify destinations for pork variety meats are definitely paying dividends. Larger shipments also reflect an improved labor situation at the plant level, which has helped increase the capture rate for variety meat items.”
October beef exports totaled 125,466 mt, up 8% from a year ago. Export value was $929.8 million, down 3% from the large total reported in October 2021. In the first 10 months of 2022, beef export value increased 18% from last year’s record pace to reach $10.05 billion – topping $10 billion in a single year for only the second time. January-October export volume was 1.25 million mt, up 4% from a year ago.
“The October results were remarkable considering the headwinds facing U.S. beef, especially in our large Asian markets,” Halstrom said. “Key currencies such as the Japanese yen and Korean won had sunk to their lowest levels in decades versus the U.S. dollar, which obviously affected importers’ buying power. COVID lockdowns in China were also a concerning factor, especially for buyers in the foodservice sector. But despite all that, U.S. beef still performed very well in Asia and achieved solid growth in North America and the Middle East. With some recent improvement in exchange rates, beef exports are well-positioned to surpass last year’s records.”
Pork variety meat exports, which averaged nearly $10 per head slaughtered in 2021, were particularly strong in October at 55,271 mt – up 33% from a year ago and the second largest volume on record. Export value was record high at $126.2 million, up 29%. While growth was driven primarily by record exports to China/Hong Kong (37,499 mt, up 51% from a year ago), exports also increased significantly to Mexico (11,941 mt, the largest since early 2020) and Japan (1,225 mt, the largest since 2018). October exports also trended higher to Central America, the Caribbean and Colombia. For January through October, global exports of U.S. pork variety meat totaled 426,232 mt, down 5% from a year ago (when pork variety meat exports reached the third highest annual total on record), valued at $1.03 billion (down 1% from last year’s record pace).
For pork and pork variety meat exports, October was another terrific month for leading market Mexico. While exports increased modestly in volume (84,915 mt, up 1% year-over-year), export value to Mexico reached a record $203.1 million – up 41% from a year ago. For January-October, exports increased 11% from a year ago in volume (781,717 mt) and 17% in value ($1.63 billion). Mexico’s demand for U.S. pork has remained very strong amid efforts to attract additional suppliers to the market. In May, Mexico temporarily suspended import duties on pork, beef and chicken from all eligible suppliers, leading to an increased presence of European pork. In mid-November, Mexico opened to pork from approved plants in the Brazilian state of Santa Catarina, provided that it goes directly into further processing.