Report Says Trade Shuffle Poses Risk for Beef Exports

Demand and production for beef may rise this year, but trade remains a wildcard that poses risks to the beef export market.

The CoBank report said trade uncertainty could hamper the U.S.'s ability to capture market share in the coming years. CoBank says 80% of beef exports are sold to countries that could be affected by ongoing trade pact negotiations. Japan, South Korea, Mexico, Canada and Hong Kong top the list of countries importing beef from the U.S., representing 83% of all U.S. beef exports. Of these trade partners, only Hong Kong will be unaffected by current trade pact negotiations. Competing exporters that are part of TPP will gain preferential access to Japan, exports to Mexico and Canada are at risk with NAFTA, and beef trade with South Korea could decline if KORUS, is renegotiated, according to the report.

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