7 Reasons Why the US is the Top Exporter of Beef in 2022
The US beef industry has been thriving in recent years, thanks to a combination of factors that have boosted its production, quality and competitiveness. In 2022, the US was the largest exporter of beef worldwide, with exports amounting to a value of 9.3 billion US dollars, followed by Germany, with eight billion dollars [1]. Here are some of the reasons why the US is leading the global beef market.
1. High demand from key markets
The US has a strong presence in some of the largest and fastest-growing beef markets in the world, such as Japan, South Korea, Mexico and Canada. These countries have a high preference for US beef, which is known for its tenderness, flavor and safety standards. The US also benefits from free trade agreements with some of these countries, which reduce tariffs and facilitate market access.
2. Diversified product portfolio
The US offers a wide range of beef products to meet the different needs and preferences of consumers around the world. From fresh and chilled beef to frozen and processed beef, the US has something for everyone. The US also exports high-value products, such as prime and choice cuts, which command premium prices in international markets.
3. Innovation and technology
The US beef industry is constantly innovating and adopting new technologies to improve its efficiency, productivity and quality. From genetics and breeding to feed and nutrition, the US uses cutting-edge science and technology to produce more and better beef with fewer resources. The US also invests in research and development to address challenges such as animal health, welfare and sustainability.
4. Competitive pricing
The US beef industry enjoys a competitive advantage in terms of cost and price, thanks to its economies of scale, low feed costs and favorable exchange rates. The US produces more beef per animal than most other countries, which lowers its production costs. The US also benefits from abundant and affordable feed supplies, such as corn and soybeans, which account for a large share of the total cost of production. Moreover, the depreciation of the US dollar against other currencies makes US beef more attractive to foreign buyers.
5. Strong reputation and branding
The US beef industry has built a strong reputation and brand image in the global market, based on its high quality, safety and consistency. The US has a rigorous inspection and grading system that ensures that only the best beef reaches consumers. The US also has a robust traceability system that allows consumers to know where their beef comes from and how it was raised. Additionally, the US promotes its beef through various marketing campaigns and programs that highlight its attributes and benefits.
6. Supportive policies and programs
The US beef industry receives support from various policies and programs that enhance its competitiveness and market access. For example, the US Department of Agriculture (USDA) provides export assistance to US beef exporters through its Foreign Agricultural Service (FAS), which helps them identify opportunities, overcome barriers and comply with regulations in foreign markets. The USDA also supports the development of export markets through its Market Access Program (MAP) and Foreign Market Development (FMD) Program, which fund promotional activities for US agricultural products abroad.
7. Resilience and adaptability
The US beef industry has shown resilience and adaptability in the face of various challenges and uncertainties, such as the COVID-19 pandemic, trade disputes and environmental issues. The US has been able to maintain or increase its beef production and exports despite these difficulties, by adjusting its supply chain, logistics and marketing strategies. The US has also been proactive in addressing emerging issues such as animal diseases, climate change and consumer trends.
The Global Beef Trade: Who Are the Top Exporters and How Has the Demand Changed?
Beef is one of the most consumed types of meat worldwide, with a global production volume of about 72 million metric tons in 2022. However, not all countries produce enough beef to meet their domestic demand, and some countries produce more than they consume. This creates a dynamic international trade of beef, with different regions competing for market share and facing various challenges and opportunities.
In this blog post, we will look at the top exporters of beef worldwide in 2022, based on the trade value of fresh, chilled or frozen beef. We will also examine how the global demand for beef has changed over time and what factors influence it.
Top Exporters of Beef Worldwide in 2022
According to Statista, the top exporters of beef worldwide in 2022 were:
- United States: US$9.3 billion (13.6% of total beef exports)
- Germany: $8 billion (11.7%)
- Mexico: $7.2 billion (10.5%)
- Brazil: $3.2 billion (4.6%)
- Argentina: $3.1 billion (4.6%)
The United States was the largest exporter of beef worldwide in 2022, with exports amounting to a value of 9.3 billion U.S. dollars, followed by Germany, with eight billion dollars. The United States mainly exported fresh or chilled beef, accounting for 14.8% of the global market share for this type of beef. The main destinations for U.S. beef exports were Canada, Japan, South Korea and Mexico.
Germany was the second-largest exporter of beef worldwide in 2022, with exports amounting to a value of eight billion dollars. Germany mainly exported frozen beef, accounting for 15% of the global market share for this type of beef. The main destinations for German beef exports were Italy, France, Netherlands and Poland.
Mexico was the third-largest exporter of beef worldwide in 2022, with exports amounting to a value of 7.2 billion dollars. Mexico mainly exported frozen beef, accounting for 13% of the global market share for this type of beef. The main destinations for Mexican beef exports were the United States, Japan, South Korea and China.
Brazil was the fourth-largest exporter of beef worldwide in 2022, with exports amounting to a value of 3.2 billion dollars. Brazil mainly exported frozen beef, accounting for 8% of the global market share for this type of beef. The main destinations for Brazilian beef exports were China, Hong Kong, Egypt and Chile.
Argentina was the fifth-largest exporter of beef worldwide in 2022, with exports amounting to a value of 3.1 billion dollars. Argentina mainly exported frozen beef, accounting for 8% of the global market share for this type of beef. The main destinations for Argentine beef exports were China, Chile, Israel and Brazil.
How Has the Global Demand for Beef Changed?
The global demand for beef is influenced by various factors, such as population growth, income levels, consumer preferences, health concerns, environmental issues and trade policies.
According to the OECD-FAO Agricultural Outlook 2021-2030, the global demand for beef is expected to grow by 0.9% per year on average between 2021 and 2030, reaching 75 million metric tons by 2030. This is lower than the average annual growth rate of 1.4% between 2011 and 2020.
The report attributes this slowdown to several factors, such as:
- A shift in consumer preferences towards poultry and pork in some regions, due to lower prices, higher convenience and perceived health benefits.
- A decline in per capita consumption of beef in developed countries, due to environmental concerns, animal welfare issues and alternative protein sources.
- A slower growth in per capita income in developing countries, due to the COVID-19 pandemic and its economic impacts.
- A limited expansion of production capacity in major exporting countries, due to land constraints, environmental regulations and animal health challenges.
However, the report also identifies some drivers that could boost the demand for beef in the future, such as:
- A recovery in economic growth and income levels in developing countries after the COVID-19 pandemic.
- A growing middle class in emerging markets, especially in Asia and Africa, with higher disposable income and preference for animal protein.
- A diversification of product offerings and quality standards in the global beef market, catering to different consumer segments and preferences.
- A potential increase in trade opportunities and market access for beef exporters, due to regional and bilateral trade agreements and lower trade barriers.
The global beef trade is a complex and dynamic sector, with different countries competing for market share and facing various challenges and opportunities. The top exporters of beef worldwide in 2022 were the United States, Germany, Mexico, Brazil and Argentina, mainly exporting fresh, chilled or frozen beef to different regions. The global demand for beef is expected to grow at a slower pace than in the past decade, due to various factors influencing consumer preferences and production capacity. However, there are also some drivers that could boost the demand for beef in the future, such as economic recovery, income growth, product diversification and trade liberalization.
References:
http://faostat.fao.org/Portals/_Faostat/documents/pdf/FAOSTAT-Forestry-def-e.pdf
https://www.fao.org/faostat/en/#data/FO/visualize
https://www.statista.com/statistics/917207/top-exporters-of-beef-global/
https://www.worldstopexports.com/top-beef-exporting-countries/
https://www.statista.com/chart/19122/biggest-exporters-of-beef/
https://beef2live.com/story-world-beef-exports-ranking-countries-0-106903
http://www.fao.org/publications/oecd-fao-agricultural-outlook/2021-2030/en/
https://www.statista.com/statistics/917207/top-exporters-of-beef-global/
https://apps.fas.usda.gov/psdonline/circulars/livestock_poultry.pdf
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