Grinding beef fast becoming 'gold' in the US

Published 2021년 6월 4일

Tridge summary

The United States is experiencing a grinding beef shortage due to a cyber attack on JBS processing plants and Argentina's beef export ban, leading to a surge in the 90CL indicator price to a 12-month high. This shortage, coupled with increased consumer demand as restaurants reopen and stimulus money is distributed, has resulted in low cold storage levels and operational disruptions. Meanwhile, China is looking to fill the beef gap by raiding New Zealand supplies, and arguments suggest that the Argentine export ban may continue, leading to strong demand for Australian beef into next year.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

A shortage of grinding beef is emerging in the world's hamburger headquarters, the United States, as disruptions like a cyber attack and export lockdown collide with ramped up consumer demand. The 90CL (chemical lean) indicator for frozen manufacturing beef into the US has shot up in the past week on the back of Argentina banning beef exports and JBS processing plants being shut down by information technology hackers. For Australia, a key supplier of the 90CL lean grinding meat that US manufacturers blend with local higher-fat beef to make hamburgers, that can only mean more support for a strong cattle market. Thomas Elders Markets reports the 90CL has rallied to 763 cents a kilogram carcase weight, the highest point in 12 months. Analyst Matt Dalgleish said the US was scrambling because massive orders had come through from Chinese buyers, who reacted very quickly to the Argentine decision to keep all its beef onshore. US reports were saying the Chinese wanted 9000 tonnes in one ...

Source: Farm Online National