09/20/06 Beef export increase

Beef Export Increase U.S. beef exports are on the rise again and that's good news. I'm Jeff Keane; I'll be right back with some comments. Most export news you hear about are quotes on the U.S. balance of trade, which of course is not good considering the oil situation. But in the beef industry, 2006-second quarter export data shows the highest total since December 2003. We exported 315 million pounds of beef last quarter. This is without marketing any beef to Japan, which was our biggest customer before December 2003 and BSE. At the present time Mexico is our biggest importer with 193 million pounds sent that way last quarter. Stronger economic conditions in Mexico, higher U.S. beef production and lower prices in the U.S. are all factors in larger exports to Mexico. Canadian imports of U.S. beef are up partially because the currency exchange rate is more favorable toward Canada than it has been for years. I wonder how much of the exports to Canada are Canadian cattle that were shipped into the U.S. I know some beef in the export figures is beef that was legally imported into the U.S. then exported. Our beef trade rules with Guatemala allows for this criteria. The forecast now for total beef exports in 2006 is about 1.1 billion pounds, which is 58 percent more than 2005, but only 44 percent of the record 2.5 billion pounds shipped in 2003. Hopefully 2007 will be even better. I'm Jeff Keane. Western Livestock Reporter 8/23/06