Herd size
On 1 January 2009, Mexico had a total cattle herd of around 22.7 million head, 0.7% lower than 2008 levels.
Red meat consumption
Although red meat consumption in Mexico is highly price sensitive, demand for beef is growing rapidly among the middle and upper income segments, particularly in Mexico’s larger cities where disposable income is higher.
Total beef consumption in 2009 is expected to increase 1.1% on year ago levels due to growing demand for meat protein and general population growth.
Beef trade
In 2008, beef and veal imports reached 408,000 tonnes with product from the US accounting for 80% of all beef imports. Imports from Canada accounted for approximately 12% of imports. The remaining imports were mainly sourced from Japan and South Korea. In 2009, beef imports to Mexico are forecast to fall by 26.5% on year ago levels.
Beef exports during 2008 reached 42,000 tonnes with 50% destined for the US. Mexico exported approximately 14,000 tonnes to Japan and 4,500 tonnes to Korea.
Live cattle trade
Cattle imports during 2008 were mainly sourced from Nicaragua, which accounted for 40% of all cattle. Imports are expected to fall sharply in 2009 due to global economic conditions and demand.
The US is Mexico’s largest market for live cattle – predominantly feeder calves. In 2008, 737,370 cattle were exported to the US, compared to 1.09 million the year before.
Given the strong US demand for grainfed beef and Mexico’s underdeveloped feedlot sector, Mexico exports feeder cattle (and imports grain fed beef) rather than produce beef from grainfed cattle for export or the domestic market.