The uncertainty and volatility that has dogged US beef exports in the second half of 2015 is expected to ease next year according to the latest market update from Rabobank. For 2015, US beef exports have come under pressure from a number of factors, including a strengthening US dollar, high beef stocks, high retail prices, low feed costs and herd rebuilding in the US.

However, looking ahead to 2016, Rabobank senior analyst Angus Gidley-Baird believes these factors, which have caused so much uncertainty and volatility in 2015, will “settle down”.

Chinese market

The latest quarterly report on the global beef market from Rabobank also suggests that China will continue to play a crucial role in the global beef trade and will be one of the main import markets to watch in 2016 along with the US.

Despite a slowing economy, the Chinese market will “continue to offer sustainable opportunities” for beef exporters in the coming years, according to Rabobank.

The report concludes that the main producing and exporting nations to watch in 2016 will be Australia, Brazil, India and the US – in particular the supply of cattle and beef, in response to rebuilding pressures at different points in the cycle.

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Global beef trade update