China’s reopening provides opportunities for global beef market

Published 2023년 3월 21일

Tridge summary

The U.S. is experiencing record beef prices due to drought and a shrinking beef herd, with China's demand playing a significant role in Brazil's record export volumes and returns. The global beef market is expected to tighten due to a anticipated decrease in U.S. production. Despite economic challenges, demand for beef remains strong among certain consumer groups. However, import growth has slowed due to high inventory of frozen beef and lower consumer confidence. New Zealand has seen a drop in farmgate beef prices, while Australia's prices are expected to remain steady.

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

Original content

It’s no secret the U.S. beef herd size has shrunk due to the drought in 2022 and beef prices are breaking records across the country. But the U.S.A. is not alone. Brazil also achieved record export volumes and returns due to a growing Chinese demand. Related: Feedlot inventories are falling: How far and how long? The softening in consumer sentiment and weaker beef pricing in late 2022 has flowed through into early 2023. While beef supply settings are favorable for beef prices, consumer confidence will continue to be tested and have a bearing on beef returns. China will remain a focal point, as the world watches to see how quickly the giant emerges from Covid lockdowns amid a slowing economic environment. It is anticipated that Chinese demand for beef will pickup in the second half of 2023 boosting global beef prices. The USA will be the other focal point. After setting records in both volume and value terms for beef exports in 2022, numbers are starting to show the contraction in ...

Source: Beefmagazine