Export demand lifts Australian beef export values

: Agriculture
24/09/10

The Australian Bureau of Agricultural and Resource Economics and Sciences (Abares) has projected record-breaking exports valued at A$14bn ($9.3bn) for beef, veal and live cattle in the 2024-25 fiscal year ending 30 June, fuelled by increasing global demand.

Reduced global beef supplies are anticipated as major exporters, mainly the US and Brazil, undergo destocking phases because of prolonged droughts. This is coupled with a robust Australian cattle herd size, which is expected to bolster domestic slaughter rates.

Beef and veal export values are forecast by Abares to rise by 4pc from a year earlier to A$12.9bn in 2024-25, driven primarily by rising demand from the US where domestic production is falling. Australian beef exports to the US have increased by 69pc during January-August compared with the same period last year to 96,265t, according to Australia's Department of Agriculture, Forestry and Fisheries (DAFF).

Live cattle export values are also projected by Abares to increase, with an expected rise of 25pc from 2023-24 to A$1.1bn. This growth is attributed to a higher volume of cattle being offered for feeder, slaughter and breeder exports. Australia during January-August exported 512,700 head of cattle to key markets, such as Indonesia and Vietnam, a significant increase from the 413,681 exported during the same period last year, according to DAFF data.

The Australian dollar is expected to average $0.67 against the US dollar in 2024–25, slightly up from $0.66 in 2023–24 but 5pc below the previous five-year average, according to Abares. This slight increase in the exchange rate is likely to enhance the competitiveness of Australian exports in international markets.

Input costs for the beef supply chain are also anticipated to ease. Labour shortages, which have been a significant issue for processors in recent years, are expected to improve with an increase in overseas workers and a weaker economy, Abares said. Global freight prices are also projected to fall heading into 2025, driven by weaker global demand and increased shipping capacity, which should help reduce container freight costs.

By Amy Phillips

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

25/03/19

US Fed keeps rate flat, eyes 2 cuts in '25: Update

Adds Powell comments, economic projections. Houston, 19 March (Argus) — Federal Reserve policymakers held their target interest rate unchanged today in their second meeting of 2025, and signaled two quarter-point cuts are still likely this year. The Fed's Federal Open Market Committee (FOMC) held the federal funds rate unchanged at 4.25-4.50pc. This mirrored the decision made at the last FOMC meeting at the end of January, which followed rate cuts of 100 basis points over the last three meetings of 2024, which were the first cuts since 2020. "Our current policy stance is well positioned to deal with the risks and uncertainties we are looking at," Fed chair Jerome Powell told journalists after the meeting. "The economy seems to be healthy." Powell acknowledged some of the negative market sentiment in recent weeks, which he said "... probably has to do with turmoil at the beginning of an administration." "We kind of know there are going to be tariffs and they tend to bring growth down and they tend to bring inflation up," he said, but long-term inflation expectations are "well anchored." In December the Fed said it expected 50 basis points worth of cuts for 2025, down from 100 basis points projected in the September median economic projections of Fed board members and Fed bank presidents. Policymakers and Fed officials Wednesday lowered their estimate for GDP growth this year to 1.7pc from a prior estimate of 2.1pc in the December economic projections. They see inflation rising to 2.7pc for 2025 from the prior estimate of 2.5pc. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

US Fed keeps rate unchanged, signals 2 cuts this year

25/03/19

US Fed keeps rate unchanged, signals 2 cuts this year

Houston, 19 March (Argus) — Federal Reserve policymakers held their target interest rate unchanged today in their second meeting of 2025, and signaled two quarter-point cuts are still likely this year. The Fed's Federal Open Market Committee (FOMC) held the federal funds rate unchanged at 4.25-4.50pc. This mirrored the decision made at the last FOMC meeting at the end of January, which followed cutting the rate by 100 basis points in the last three meetings of 2024, which were the first cuts since 2020. In December last year, the Fed penciled-in 50 basis points worth of cuts for 2025, down from 100 basis points projected in the September median economic projections of Fed board members and Fed bank presidents. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Early signs of trouble for US winter wheat

25/03/17

Early signs of trouble for US winter wheat

St Louis, 17 March (Argus) — Drought conditions, above average temperatures and high winds are reducing the outlook for US winter wheat through the southern and central plains regions. Crop conditions for key US winter wheat producing states were mixed at the end of February 2025. In Oklahoma and Texas, two states that account for approximately 20pc of total US winter wheat acres, the percentages of the crop rated in good-to excellent condition were down 12 and 35 percentage points, respectively, from a year before, according to US Department of Agriculture (USDA) data. Colorado and Montana, which account for about 14pc of US winter wheat acres, saw the crops good-to-excellent ratio increase 11 and 22 percentage points from the prior year, respectively. Kansas, the largest winter wheat state by acreage, saw the crops good-to-excellent ratio reach 54pc, down slightly from the prior year's level, because of developing drought conditions. Since the USDA's last crop condition update, drought conditions in Kansas have continued to intensify with precipitation totals for central and western parts of the state at 5pc or less of the historical average during the 30-day period ending 16 March, according to National Oceanic and Atmospheric Administration (NOAA) data. In addition to increasing drought, above average temperatures have resulted in the states hard red winter wheat crop breaking dormancy by as much as a month ahead of normal, according to market sources, increasing the risk that future weather events could cause significant damage. NOAA forecasts Kansas will receive limited snow accumulation and winds in excess of 70 miles per hour over the week ahead, the combination of which could result in significant damage to the crop as it breaks dormancy. The USDA will provide the next US state winter wheat crop conditions update at the start of April. The report's data could prove supportive for US wheat prices if it indicates substantial damage has occurred to US winter wheat acres. By Ryan Koory Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Brazil's Mato Grosso corn sowing nearly finished

25/03/17

Brazil's Mato Grosso corn sowing nearly finished

Sao Paulo, 17 March (Argus) — The 2024-25 winter corn planting reached nearly 99.5pc of the expected area in Brazil's central-western Mato Grosso state, which is roughly in line with the total sowed a year prior. That is the first time this season's progress is ahead on the year, following a delayed start this cycle and quick 2023-24 planting. Works advanced by 3 percentage points in the week ended 14 March, according to regional agricultural institute Imea. The five-year average for this time of the year is of 96.9pc completion. Soybean The 2024-25 soybean crop is 97.3pc harvested as of 14 March, an advancement of 5.5 percentage points on the week. That is ahead of the 95.6pc harvested at this time a year ago for the 2023-24 crop and above a five-year average of 93.2pc. Cotton Mato Grosso completed the 2024-25 cotton sowing as of 28 February, but harvesting is yet to begin. Activities usually start around mid-June, according to Imea. By Nathalia Giannetti Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Argentina’s Bahia Blanca region faces more storms

25/03/17

Argentina’s Bahia Blanca region faces more storms

Sao Paulo, 17 March (Argus) — The Argentine city of Bahia Blanca was bracing Monday for more stormy weather, 10 days after a deluge that resulted in a reported 16 deaths, flooded fields in agricultural areas and shut down operations at the city's port. Much of the area around Bahia Blanca already had excessive soil moisture levels following the storm on 7 March, with localized flooding of corn, soybean and sunflower fields, Argentina's economy ministry reported last week. The southern part of Buenos Aires province also produces wheat and barley, among other crops. Bahia Blanca's port is an exporting facility for those crops. Operations at the port shut down due to a loss of power supply and other effects of the storm on 7 March, the port authority reported. Operations at the port have resumed with little damage to its terminals and other facilities, though roads and railways leading to the port suffered heavy damage, news site Argenports.com reported last week. Scattered storms with rainfall between 0.8 inch and 1.6 inches, or more in some areas, in a short period of time are expected in a wide area in the south of Buenos Aires province, the country's National Meteorological Service reported. The downpours will be accompanied by gusts of wind approaching 50 miles per hour (80 km/hr) and hail, the Service said. The area around Bahia Blanca and parts of the towns of Saavedra, Tornquist and Coronel Pringles and other municipalities in the south of the province are the subject of the alert. The 7 March storm left 16 people dead and dumped about 12 inches of rain on the city and surrounding areas in just eight hours, according to local news reports. By Jeffrey T. Lewis Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more