The Aug-Oct average EU beef price dropped against the previous average (May-July), as the summer “grilling season” passed and the demand for beef declined. The total 2019 EU beef and veal production have been revised up by 10,000 tonnes from the previous forecast to 7.91m tonnes. However, this is a 1.2% decline from the production in 2018.
Similar to European prices, the end of the grilling season weighed on US beef prices. Additionally, lower-than-expected exports in July, especially to key markets such as Japan, Canada and Mexico drove US beef prices further down, resulting in a 3% y-o-y decline. US beef and veal 2019 production is expected to remain steady, compared to 2018 at 12.3m tonnes. The USDA revised revised its October estimate slightly lower than previously estimated due to a fire in a Kansas beef processing plant (Tyson Food) in August 2019 reducing US beef processing capacity in 2019.
From economical to political, all the factors impacting the beef market have been analysed to provide a market outlook for the next three months. Mintec’s market outlooks (schedule) provide insights on factors shaping the market dynamics of various commodities, providing the opportunity for market participants to stay ahead of factors that will impact procurement decisions. Please visit our Mintec Analytics platform to find out more.