1998 News Archive
BACKGROUNDER: BEEF INDUSTRY TRADE
There has been a lot of discussion recently about the impact of trade on the beef industry. Some have expressed concern about the impact of NAFTA on the U.S. market. Most of the increase in trade flows between North American trading partners can be traced to the implementation of the U.S./Canada Free Trade Agreement in 1989 and NAFTA in 1994. The elimination of most tariffs on trade in live cattle, beef and beef by-products under those agreements has resulted in increased trade between the U.S., Canada, and Mexico.
Many factors influence the volume of exports and imports. In 1998, the most significant factor has been the strength of the U.S. dollar which has resulted in more U.S. beef imports. Compared to a year ago, the U.S. dollar has risen 28% against the New Zealand dollar, 20% against the Australian dollar and 8% against the Canadian dollar. The increase in the value of the dollar relative to Asian currencies and the economic crisis in Asia have made it more difficult to export U.S. beef and beef by-products to Asia.
The value of U.S. live cattle and beef exports has grown from $589 million in 1985 to $2.674 billion in 1997. The U.S. is a net exporter of beef, live cattle, variety meats and by-products on a value basis. The trade surplus (exports minus imports) for beef, live cattle, beef variety meat and beef by-products was $1.8 billion in 1997.
Net imports of beef and live cattle on a volume basis in 1996 and 1997 were the lowest since the mid-1960’s.
Trade policy is a high priority for the National Cattlemen’s Beef Association. NCBA is working to:
- Pass legislation in Congress to implement import labeling and to require price reporting of all boxed beef prices and price and volume information for all beef exports and imports.
- Keep illegal Australian feeder cattle from entering the U.S. through Mexico.
- Coordinate with USDA and the U.S. Trade Representative to ensure that Korea lives up to its import commitments.
- Secure funding for the International Monetary Fund to stabilize the Asian economies.
- Reduce trade tariffs for beef sold to China.
Recent trade successes include:
- Secured a pilot agreement with Canada to allow more imports of U.S. feeder cattle.
- Won a World Trade Organization case against the European Union regarding the unfair trade barrier on U.S. beef. NCBA continues to pressure the European Union to abide by the ruling.
In addition, the Meat Export Federation has used beef checkoff dollars in marketing programs that have dramatically increased U.S. beef exports.
Import and Export Fact Sheet All tonnage figures are carcass weight equivalent
|
|
|
Imports from Canada |
|
Imports from Mexico |
|
U.S. Average Carcass Weight (lbs) |
|
Live Cattle Imports from Canada (head) |
Live Cattle Beef Equiv- alent (mil lbs) |
Beef Product Imports from Canada (mil lbs) |
Total Beef Imports from Canada (mil lbs) |
|
Live Cattle Imports from Canada (head) |
Live Cattle Beef Equiv- alent (mil lbs) |
Beef Product Imports from Mexico (mil lbs) |
Total Beef Imports from Mexico (mil lbs) |
|
1985 |
649 |
|
338,320 |
220 |
240 |
460 |
|
476,478 |
309 |
n/a* |
309 |
|
1986 |
649 |
|
227,538 |
148 |
213 |
361 |
|
1,155,931 |
750 |
n/a* |
750 |
|
1987 |
657 |
|
244,710 |
161 |
191 |
351 |
|
934,932 |
614 |
n/a* |
614 |
|
1988 |
668 |
|
476,707 |
318 |
172 |
490 |
|
841,285 |
562 |
n/a* |
562 |
|
1989 |
678 |
|
574,788 |
390 |
239 |
629 |
|
873,388 |
592 |
n/a* |
592 |
|
1990 |
681 |
|
854,468 |
582 |
222 |
804 |
|
1,261,107 |
859 |
n/a* |
859 |
|
1991 |
697 |
|
904,688 |
631 |
223 |
854 |
|
1,034,185 |
721 |
n/a* |
721 |
|
1992 |
699 |
|
1,270,556 |
888 |
321 |
1,209 |
|
981,719 |
686 |
n/a* |
686 |
|
1993 |
688 |
|
1,202,271 |
827 |
407 |
1,235 |
|
1,296,609 |
892 |
n/a* |
892 |
|
1994 |
709 |
|
1,010,299 |
716 |
463 |
1,179 |
|
1,072,126 |
760 |
n/a* |
760 |
|
1995 |
705 |
|
1,132,691 |
799 |
446 |
1,244 |
|
1,653,408 |
1,166 |
n/a* |
1,166 |
|
1996 |
695 |
|
1,509,136 |
1,049 |
586 |
1,635 |
|
456,246 |
317 |
n/a* |
317 |
|
1997 |
700 |
|
1,376,814 |
964 |
711 |
1,675 |
|
669,409 |
469 |
n/a* |
469 |
|
|
|
Imports from other countries |
|
Import summary |
|
U.S. Average Carcass Weight (lbs) |
|
Live Cattle Imports from Australia (mil lbs) |
Beef Product Imports from New Zealand (mil lbs) |
Beef Product Imports Other (mil lbs) |
|
Total Beef Imports from Live Cattle (mil lbs) |
Total U.S. Beef Imports (mil lbs) |
Total Beef Imports from All Sources (mil lbs) |
|
1985 |
649 |
|
795 |
516 |
539 |
|
529 |
2,091 |
2,619 |
|
1986 |
649 |
|
947 |
509 |
487 |
|
898 |
2,156 |
3,054 |
|
1987 |
657 |
|
997 |
613 |
493 |
|
775 |
2,294 |
3,069 |
|
1988 |
668 |
|
1,081 |
641 |
511 |
|
880 |
2,406 |
3,286 |
|
1989 |
678 |
|
818 |
658 |
462 |
|
982 |
2,178 |
3,160 |
|
1990 |
681 |
|
1,084 |
578 |
471 |
|
1,441 |
2,356 |
3,797 |
|
1991 |
697 |
|
1,048 |
636 |
499 |
|
1,351 |
2,406 |
3,758 |
|
1992 |
699 |
|
1,012 |
639 |
468 |
|
1,574 |
2,440 |
4,014 |
|
1993 |
688 |
|
906 |
562 |
526 |
|
1,719 |
2,401 |
4,121 |
|
1994 |
709 |
|
876 |
528 |
504 |
|
1,476 |
2,371 |
3,847 |
|
1995 |
705 |
|
670 |
579 |
408 |
|
1,964 |
2,103 |
4,068 |
|
1996 |
695 |
|
545 |
504 |
438 |
|
1,366 |
2,072 |
3,438 |
|
1997 |
700 |
|
639 |
576 |
416 |
|
1,432 |
2,343 |
3,775 |
|
|
Live cattle exports |
|
Exports to various countries |
|
|
Total U.S. Live Cattle Exports (head) |
Live Cattle Beef Equiv- alent (mil lbs) |
|
U.S. Beef Product Exports to Canada (mil lbs) |
U.S. Beef Product Exports to Mexico (mil lbs) |
U.S. Beef Product Exports to Japan (mil lbs) |
U.S. Beef Product Exports to S. Korea (mil lbs) |
U.S. Beef Product Exports to Other (mil lbs) |
|
1985 |
|
124,714 |
81 |
|
25 |
5 |
260 |
3 |
39 |
|
1986 |
|
107,847 |
70 |
|
20 |
1 |
354 |
1 |
149 |
|
1987 |
|
130,698 |
86 |
|
37 |
11 |
397 |
1 |
166 |
|
1988 |
|
321,449 |
215 |
|
53 |
37 |
503 |
16 |
80 |
|
1989 |
|
169,140 |
115 |
|
98 |
75 |
716 |
58 |
76 |
|
1990 |
|
119,914 |
82 |
|
191 |
73 |
574 |
98 |
70 |
|
1991 |
|
310,962 |
217 |
|
259 |
173 |
534 |
150 |
73 |
|
1992 |
|
321,790 |
225 |
|
249 |
195 |
629 |
165 |
86 |
|
1993 |
|
153,416 |
106 |
|
244 |
120 |
720 |
116 |
76 |
|
1994 |
|
230,791 |
164 |
|
286 |
223 |
832 |
177 |
92 |
|
1995 |
|
94,548 |
67 |
|
312 |
92 |
1,004 |
272 |
140 |
|
1996 |
|
174,307 |
121 |
|
295 |
172 |
1,016 |
204 |
191 |
|
1997 |
|
280,344 |
196 |
|
282 |
312 |
1,053 |
261 |
221 |
|
|
Export summary |
|
|
|
|
|
|
Total Beef Exports from Live Cattle (mil lbs) |
Total U.S. Beef Product Exports (mil lbs) |
Total Beef Exports from All Sources (mil lbs) |
|
Net Beef Imports from All Sources (mil lbs) |
|
Imports from Canada as % of Total U.S. Exports (pct) |
|
1985 |
|
81 |
332 |
413 |
|
2,207 |
|
111% |
|
1986 |
|
70 |
526 |
596 |
|
2,458 |
|
61% |
|
1987 |
|
86 |
611 |
697 |
|
2,372 |
|
50% |
|
1988 |
|
215 |
690 |
905 |
|
2,381 |
|
54% |
|
1989 |
|
115 |
1,023 |
1,137 |
|
2,023 |
|
55% |
|
1990 |
|
82 |
1,006 |
1,088 |
|
2,709 |
|
74% |
|
1991 |
|
217 |
1,189 |
1,405 |
|
2,353 |
|
61% |
|
1992 |
|
225 |
1,324 |
1,549 |
|
2,465 |
|
78% |
|
1993 |
|
106 |
1,275 |
1,381 |
|
2,740 |
|
89% |
|
1994 |
|
164 |
1,611 |
1,774 |
|
2,073 |
|
66% |
|
1995 |
|
67 |
1,821 |
1,887 |
|
2,180 |
|
66% |
|
1996 |
|
121 |
1,878 |
1,999 |
|
1,439 |
|
82% |
|
1997 |
|
196 |
2,130 |
2,326 |
|
1,449 |
|
72% |
|
U.S. beef imports by country (mil lbs) Canada and Mexico totals include beef equivalent from live cattle imports |
|
Canada |
Mexico |
Australia |
New Zealand |
Other |
Total |
|
1985 |
460 |
309 |
795 |
516 |
539 |
2,619 |
|
1986 |
361 |
750 |
947 |
509 |
487 |
3,054 |
|
1987 |
351 |
614 |
997 |
613 |
493 |
3,069 |
|
1988 |
490 |
562 |
1,081 |
641 |
511 |
3,286 |
|
1989 |
629 |
592 |
818 |
658 |
462 |
3,160 |
|
1990 |
804 |
859 |
1,084 |
578 |
471 |
3,797 |
|
1991 |
854 |
721 |
1,048 |
636 |
499 |
3,758 |
|
1992 |
1,209 |
686 |
1,012 |
639 |
468 |
4,014 |
|
1993 |
1,235 |
892 |
906 |
562 |
526 |
4,121 |
|
1994 |
1,179 |
760 |
876 |
528 |
504 |
3,847 |
|
1995 |
1,244 |
1,166 |
670 |
579 |
408 |
4,068 |
|
1996 |
1,635 |
317 |
545 |
504 |
438 |
3,438 |
|
1997 |
1,675 |
469 |
639 |
576 |
416 |
3,775 |
|
U.S. beef exports by country (mil lbs) |
|
Canada |
Mexico |
Japan |
South Korea |
Other |
Live Cattle |
Total |
|
1985 |
25 |
5 |
260 |
3 |
39 |
81 |
413 |
|
1986 |
20 |
1 |
354 |
1 |
149 |
70 |
596 |
|
1987 |
37 |
11 |
397 |
1 |
166 |
86 |
697 |
|
1988 |
53 |
37 |
503 |
16 |
80 |
215 |
905 |
|
1989 |
98 |
75 |
716 |
58 |
76 |
115 |
1,137 |
|
1990 |
191 |
73 |
574 |
98 |
70 |
82 |
1,088 |
|
1991 |
259 |
173 |
534 |
150 |
73 |
217 |
1,405 |
|
1992 |
249 |
195 |
629 |
165 |
86 |
225 |
1,549 |
|
1993 |
244 |
120 |
720 |
116 |
76 |
106 |
1,381 |
|
1994 |
286 |
223 |
832 |
177 |
92 |
164 |
1,774 |
|
1995 |
312 |
92 |
1,004 |
272 |
140 |
67 |
1,887 |
|
1996 |
295 |
172 |
1,016 |
204 |
191 |
121 |
1,999 |
|
1997 |
282 |
312 |
1,053 |
261 |
221 |
196 |
2,326 |
|
U.S. beef import and export summary (mil lbs) |
|
Total Beef Imports |
Total Beef Exports |
Net Beef Imports |
|
1985 |
2,619 |
413 |
2,207 |
|
1986 |
3,054 |
596 |
2,458 |
|
1987 |
3,069 |
697 |
2,372 |
|
1988 |
3,286 |
905 |
2,381 |
|
1989 |
3,160 |
1,137 |
2,023 |
|
1990 |
3,797 |
1,088 |
2,709 |
|
1991 |
3,758 |
1,405 |
2,353 |
|
1992 |
4,014 |
1,549 |
2,465 |
|
1993 |
4,121 |
1,381 |
2,740 |
|
1994 |
3,847 |
1,774 |
2,073 |
|
1995 |
4,068 |
1,887 |
2,180 |
|
1996 |
3,438 |
1,999 |
1,439 |
|
1997 |
3,775 |
2,326 |
1,449 |
|
Import and export value factsheet |
|
Total Beef and Live Cattle Export Value ($ mil) |
Total Beef and Live Cattle Import Value ($ mil) |
Trade Surplus (Deficit) ($ mil) |
|
Total Beef, Live Cattle Byproduct and Hide Export Value ($ mil) |
Total Beef, Live Cattle Byproduct and Hide Import Value ($ mil) |
Trade Surplus (Deficit) ($ mil) |
|
1985 |
$589 |
$1,583 |
($993) |
|
$2,397 |
$1,612 |
$785 |
|
1986 |
$745 |
$1,730 |
($984) |
|
$2,605 |
$1,752 |
$853 |
|
1987 |
$876 |
$1,984 |
($1,107) |
|
$2,884 |
$2,003 |
$881 |
|
1988 |
$1,311 |
$2,278 |
($966) |
|
$3,683 |
$2,306 |
$1,377 |
|
1989 |
$1,527 |
$2,302 |
($775) |
|
$3,577 |
$2,351 |
$1,226 |
|
1990 |
$1,669 |
$2,840 |
($1,171) |
|
$3,604 |
$2,890 |
$714 |
|
1991 |
$1,945 |
$2,913 |
($968) |
|
$3,749 |
$3,004 |
$745 |
|
1992 |
$2,236 |
$3,123 |
($887) |
|
$4,157 |
$3,240 |
$916 |
|
1993 |
$2,119 |
$3,276 |
($1,157) |
|
$3,967 |
$3,408 |
$559 |
|
1994 |
$2,489 |
$2,950 |
($461) |
|
$4,477 |
$3,095 |
$1,382 |
|
1995 |
$2,733 |
$2,860 |
($127) |
|
$5,227 |
$3,000 |
$2,227 |
|
1996 |
$2,543 |
$2,462 |
$80 |
|
$4,767 |
$2,608 |
$2,158 |
|
1997 |
$2,674 |
$2,734 |
($60) |
|
$4,718 |
$2,898 |
$1,820 |
|
|
Source: USDA Note: All totals include beef equivalent of live cattle trade.Live imports converted to beef equivalent using USDA all cattle carcass weights. |
-- NCBA --
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