China drives live export hike

Key stats

• Year-to-date live export of breeder cattle is up 89%, predominately led by China
• Increased exports of feeder cattle to the Indonesia (241,000), Vietnam (19,000), and Israel (39,000)
•  Highest year-to-May live cattle export since 2016, at 484,000 head

The export of feeder cattle saw a spike in May, with exports showing the effects of the season, as consistent supply largely reflects the impact of a disappointing wet season. The 84,000 head of feeder cattle shipped in May was the highest monthly consignment since October last year (89,000 head). So far in 2019, feeder cattle exports have increased 25% compared to the same period in 2018, supported by the aforementioned season and a return to a more affordable price point for feeder steers out of Darwin.

Indonesia has taken the majority of this supply, accounting for 241,000 head of the 329,000 feeder cattle total. Feeder shipments in May (63,000 head), will have helped to replenish feedlot inventories, post the peak demand period during Ramadan and Eid ul Fitr (3–4 June).

Israel has also taken more feeder cattle in 2019 compared to 2018, at 39,000 head, while Vietnam has also increased intake of feeder cattle at 19,000 head for the calendar year-to-May.

The other major increase in 2019 has been breeder cattle exports. So far in 2019, live breeder cattle exports are up 89% to 68,000 head, compared to the same period in 2018. China accounted for 67% of all breeder shipments so far in 2019, with exports to the market up 85%, to 46,000 head for the calendar year-to-May.

Sheep

Year-to-date live sheep exports totaled just over 700,000 head, down 4% on the same period through 2018, as the trade now enters the northern summer (June - August) shut down. Kuwait has been the largest market so far in 2019, with 239,000 head exported, a significant portion of the total. A total of 38% or 90,000 head were shipped here in May.

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© Meat & Livestock Australia Limited, 2019