October was another excellent month for U.S. Pork exports, according to statistics released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Pork exports set a new all-time monthly value record at $573.9 million, up 41 percent from last year, which pushed the cumulative value through October to a new annual record of $4.93 billion – breaking the previous high of $4.88 billion in 2008.
In addition to setting a new value record, pork export volume for October was also very strong at 442.5 million pounds, 24 percent higher than last year and the second-largest volume total ever. Through October, 2011 export volume is 17 percent ahead of last year’s pace at 4 billion pounds. October exports equated to 24 percent of pork muscle cut production and 27 percent when including both muscle cuts and variety meat. For January through October, these ratios were 23 percent and 27 percent, respectively, compared to 19 percent and 24 percent last year. October exports equated to $58.42 per hog slaughtered, bringing the 2011 total to $54.68. This compares to $42.26 in October 2010 and $43.72 for all of last year.
China was the largest volume market for U.S. Pork in October at 107.3 million pounds, more than double the year-ago volume and setting another monthly record. Through October, exports to the China/Hong Kong region were up 60 percent to 797.4 million pounds, valued at $654.4 million.
Strong October exports to Japan further solidified its position as the leading value market for U.S. Pork. Through October, export volume to Japan reached 904 million pounds which is up 14 percent over last year and valued at a remarkable $1.62 billion. This value total is 19 percent higher than last year’s pace and rapidly approaching a new all-time value record of $1.65 billion set in 2010.
Mexico is the top volume destination for U.S. Pork, with October exports up slightly in volume over last year but 15 percent higher in value. This pushed the 2011 export totals to 947.8 million pounds which is down 2 percent, valued at $830.6 million. With a strong finish to the year, the all-time value record for Mexico, $986 million, set last year, could be within reach.
The volume and value records for Canada (in 2010, 403.6 million pounds valued at $618 million) also are likely to fall as strong October exports pushed its total to 372.2 million pounds valued $604.8 million – up 13 percent and 18 percent, respectively, from last year.
Exports to South Korea, which had already broken their previous records, remained strong in October reaching 355.2 million pounds which is up 133 percent and valued at $418.1 million. Exports to Korea have been bolstered this year by duty-free access for some imported pork cuts and a severe shortage of domestic product. Once the Korea-U.S. FTA is implemented, duties of 25 percent on the most commonly traded U.S. cuts will be reduced to 16 percent.
Another market topping its previous volume and value records was Australia, as 2011 exports reached 118.7 million pounds valued at $173 million – up 18 percent and 37 percent, respectively, over last year’s then-record pace.
Led by surging exports to Chile, the Central and South America region also topped last year’s record totals by reaching 128 million pounds which is up 23 percent and valued at nearly $150 million. The outlook for this region also was bolstered by ratification of the free trade agreements with Colombia and Panama, which hold great promise for U.S. Pork.
Editor’s notes: – Export statistics refer to both muscle cuts and variety meat unless otherwise indicated.
Source: National Pork Board, Becca Hendricks