2015-16 saw a record volume of Australian grainfed beef exported at 267,578 tonnes shipped weight (swt), up 15% year-on-year, and 4,618 tonnes swt higher than the previous record in 2006-07.
Dry conditions across most of the eastern states resulted in significant stock turnoff – to processors, live exporters and feedlots – and the consequent high number of cattle on feed clearly led to higher grainfed beef production. Year-to-March (latest data) feedlot marketings reached a record level – with 2.12 million head sold.
Coupled with strong international demand, Australian grainfed beef exports were assisted by a lower Australian dollar for most of the year. Against the US$ the A$ averaged 0.728US¢ for the year and was 13% lower than 2014-15. The A$ followed a similar trend against the Japanese Yen and the Korean Won, 11% below year-ago levels against the Yen at 85.008¥, and 5% lower year-on-year against the Won at 854.278₩.
Further supporting exports were tariff cuts on Australian product into the two largest grainfed beef markets. In accordance with the Japan Australia Economic Partnership Agreement (JAEPA), the frozen beef tariff reduced to 27.5% this year while the tariff on chilled beef declined to 30.5%. Before the implementation of the JAEPA, the tariff was 38.5%. Similarly, the Korea Australia Free Trade Agreement (KAFTA) saw beef tariffs drop to 32% – having been 40% prior to KAFTA.
http://www.mla.com.au/prices-markets/market-news/2015-16-australian-grainfed-beef-exports-trump-old-record/
