Beef imports from Australia expected to rise in H2

MANILA, Philippines - The volume of beef imports from Australia is expected to pick up in the second half after falling by nearly a third in the first six months of the year.

Meat and Livestock Australia (MLA) country manager Peter Paul Perez told The STAR the country’s Aussie beef imports dropped 30 percent in the first half to 12,626 tons from 18,000 tons in the same period last year.

“Peak season orders not in yet. Peak month is September leading to Christmas so our feeling is we will replicate last year’s volume,” Perez said.

Philippine beef imports from Australia rose 27 percent in 2014 to 34,352 tons. Australia is the largest exporter of red meat to the Philippines.

However, Perez said exceeding last year’s volume is unlikely due to Australia’s supply problems.

“There may be demand but no supply. As we all know, Australia came from a very long drought. It is just now that the herd is replenishing. Given that the products are natural fed, it really impacts supply,” Perez said.

“We are also up against the demands of China, Indonesia, and India which are also big beef eating countries. Because of that, prices will have a tendency to go up. Hopefully our importers can buy even at a higher price,” he added.

Locally, however, demand for red meat products from Australia has been on the uptrend according to Perez.

He said the increase in consumption among Filipinos could be attributed to the country’s growing economy, resulting in higher spending power for consumers.

“The retail sector is growing by leaps and bounds. New restaurants are popping every now and then so each occasion is an opportunity for them to take in more Australian beef and lamb,” Perez said.