In today’s Beef Buzz, senior farm and ranch broadcaster Ron Hays speaks with Dan Halstrom, president and CEO of the U.S. Meat Export Federation (USMEF), about August beef export results, strong demand in key Asian markets and the importance of variety meats in maximizing the value of every animal.
U.S. beef exports posted a 4% increase in volume and a 13% increase in value in August compared to a year ago, providing encouraging news for the industry amid tight supplies, higher prices and market volatility. “Despite all the volatility in the marketplace, the deep demand not only is resilient but strong in a lot of places,” Halstrom said. “So we’re very upbeat about that.”
Taiwan Sets the Pace for U.S. Beef Export Growth
Taiwan was a standout market in August, continuing a positive trend that Halstrom said has lasted three or four consecutive months. U.S. beef exports to Taiwan reached more than $85 million in value for the month, marking the second-highest month ever for the market.
Halstrom highlighted Taiwan’s strong preference for chilled U.S. beef and the significant market share American producers have established in the country’s imported chilled beef market. “We have a huge share of the retail market in Taiwan,” Halstrom said. “Over 70% of the imported market share is chilled U.S. beef.”
He described Taiwan’s performance as a major success story for U.S. beef exporters as they work to maintain demand and expand opportunities in international markets.
South Korea Poised to Lead Beef Export Value
South Korea also delivered strong results in August, with export value increasing nearly 20% compared to the same month last year.
Halstrom said the rebound was expected as Australia’s beef export quota into South Korea was filled in mid-July, creating a duty advantage for U.S. beef beginning in August. “We knew August onward we have an advantage on duty,” Halstrom said. “We’re going to see a big rebound not only in August, but I anticipate Korea is going to grow for the rest of the year.”
South Korea and Japan remain two of the most important destinations for U.S. beef, although the product mix differs between the markets. Halstrom explained that South Korea’s stronger emphasis on chilled beef contributes to a higher-value product mix, while Japan imports a larger share of frozen beef for products such as short plates. “I think Korea is going to definitely end up a year again, like last year, is the number one value market for beef,” Halstrom said.
Japan Remains a Reliable Market Despite Higher Prices
Japan continues to be a major destination for U.S. beef, with demand for specific cuts helping sustain the market despite economic pressures and unfavorable currency exchange rates.
Halstrom pointed to short plates and popular yakiniku items, including outside skirts and hanging tender, as important products in Japan.
He noted that the strong U.S. dollar against the Japanese yen has put pressure on Japanese consumers’ purchasing power, but he remains optimistic about the market’s long-term importance. “I think Japan still is a very reliable market,” Halstrom said.
He added that Japan is expected to remain a market worth more than $2 billion for U.S. beef this year. “So very, very important still for U.S. beef,” Halstrom said.
Variety Meats Help Maximize the Value of Every Animal
Beyond traditional beef cuts, Halstrom emphasized the role variety meats play in supporting U.S. beef exports. During a September visit to Japan, USMEF brought 24 beef, pork, corn and soybean producers to see firsthand how international consumers use American agricultural products.
One stop took the group to Sendai in northern Japan, a city known for its beef tongue. The delegation visited a processing plant handling U.S. beef tongues before attending a meal featuring five courses prepared with beef tongue in different culinary applications.
Halstrom said the experience gave producers a better understanding of how international markets value products that may be less prominent in the American diet. “I really enjoy going back,” Halstrom said. “It reminds me of just how different the culture is.”
He said the meal helped demonstrate the importance of understanding consumer preferences and finding markets for more than just traditional muscle cuts.
Global Markets Create Demand for Livers, Tripe and Other Products
Japan is a major market for beef tongue, but USMEF also works to develop demand for variety meats across Latin America, Southeast Asia and Africa.
Halstrom identified Egypt as an important destination for beef livers, while Mexico, Central America and Peru have established demand for tripe. Colombia, the Philippines and Vietnam also provide opportunities for U.S. exporters, along with African markets where beef livers, kidneys and intestines are consumed.
For Halstrom, the goal is to match each product with the markets where consumers value it most. “Really, it’s about marketing that whole carcass,” Halstrom said.
He explained that products considered secondary in the United States can be central to meals in other countries. “What’s center of the plate for us a lot of times is not center of the plate for some of these countries,” Halstrom said.
He pointed to beef tongue in Japan and beef livers in countries such as Egypt and Angola as examples of how international demand helps create value across more of the animal.
The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Ag Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR above for today’s show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.
