Challenges in Sheep and Beef Meat Export Market: Decrease in Average Income from Exports

The sheep meat export market continues to face challenges, as the Average Income from Exports (IMEx) fell below US$4,000 both in the week ending May 20 and in the last 30 days.
With an annual average of US$3,906 per ton exported, this represents a decrease of 24.2% compared to the same period of the previous year, according to data from the National Meat Institute (INAC).
Despite this drop, the volume of sheep meat exported so far this year has increased by 51% compared to 2022, and turnover has grown by 14.5%, reaching US$45 million.
As for beef, the average export price has remained above US$4,500 per ton in the last 30 days, being the highest recorded in 2023.
Although there was a decrease in the weekly price, from US$4,946 to US$4,578, a spike was observed the week before, possibly due to 481 quota shipments.
In annual terms, the average export price of beef stands at US$4,388 per ton, which represents a decrease of 13% compared to the same period from January to May 2022, although US$500 per ton is still maintained. above the values ​​of 2021.
In May, beef exports have experienced the smallest drop compared to other months, registering a reduction of 5.3% compared to the 15% decrease in the accumulated annual and almost 27% in April.
This trend is influenced by a certain recovery in demand from China, which has decreased its imports by 26% this year, but in May the reduction did not reach 12%, being the month with the smallest decrease so far this year. 2023.
Partial figures for May through 20 show an increase of almost 30% in shipments to North America and a 66% growth in sales to the European Union. In addition, there have been significant increases in shipments within Mercosur and to markets in the Middle East.