USDA lowers forecast for global beef production

The forecast for world beef exports was also reduced by 3%, to 10.8 million tons.

In its global production and consumption forecast published this week, the US Department of Agriculture ( USDA) lowered its estimate of global beef production by 1% to 60.8 million tons, due to a decrease in the figure in Argentina, Australia and Brazil.

The forecast for global beef exports is also lowered by 3% to 10.8 million tons, which will lead to a slowdown in supplies to CHINA and Hong Kong, countries where demand for beef remains consistently high. The main decrease in beef exports will fall on Argentina - in order to combat high prices in the domestic market, since May 20, the country has limited beef exports. In May this year, Argentina exported 55.7 thousand tons of beef abroad, which is 6.6% less than in the corresponding month of last year.

For reference: Argentina is the fifth exporter of beef in the world (after Brazil, usa, India and Australia).

From May 20, 2021, the Argentine authorities decided to freeze beef exports for 30 days in order to stabilize prices in the domestic market. RUSSIA is in fourth place among consumers of Argentine beef. China is the largest importer of Argentine beef. China accounted for 77.5% of EXPORT shipments from January to May, according to the Argentine Chamber of MEAT Industry.

Also, a significant decrease in exports, according to forecasts, will fall on Australia - the country's production will fall to a 23-year low - and on Brazil. In recent weeks, there has been a decline in supplies from the United States, the second largest exporter of beef in the world. The main supplies of American beef come from Japan, the Republic of Korea, China, Taiwan and Mexico.