Readers of The National Provisioner will be aware of the shifting supply chain landscape over the past few years. While demand for proteins like beef remain at robust levels, domestic supplies are at lows not seen since the 1960s, leaving imports to fill the gap. In particular, Australian imports of beef and lamb have become increasingly crucial. More than just volume, North American consumers and wholesale buyers are finding an appreciation for Australian imports, their attributes, sustainability credentials, and consistent supply.

Where’s the beef? 

According to the US Department of Agriculture, beef production in the US is forecasted to reach 27 billion pounds in 2024, slightly above 2023 levels[1]. However, this is the result of drought-induced turnoff, with high levels of female cattle in the system, inhibiting recovery of the national herd. Production is expected to decrease to 25.925 billion pounds in 2025 due to anticipated lower cattle marketings and heavier carcass weights[1]. By 2026, production is projected to stabilize around these levels, reflecting ongoing adjustments in the market.

Australia has long been a trusted partner in supplying high-quality beef and lamb to North America. These imports play a vital role in supplementing domestic production, ensuring that consumers have access to a variety of red meat products year-round. Australian beef and lamb are renowned for their quality, consistency, and adherence to stringent safety standards, making them a preferred choice for many North American retailers and foodservice providers.

Over the past 12 months, Australian beef exports to the USA have increased significantly, with a 27% rise to 1.08 million tonnes. Similarly, Australian lamb exports to the USA have reached record highs, with a year-on-year increase of 32%, totaling 71,943 tonnes. Australia's robust export infrastructure and reliable production systems ensure that North American markets can depend on a steady flow of high-quality red meat products. This reliability is particularly crucial during periods of domestic shortfalls or increased demand.

Fast facts: Aussie beef exports to North America

• Australia exported 48,713 tons of beef to North America in October 2024, 20% more than September and 54% more than October 2023. 
• Chilled exports have risen by 91% year-on-year to 12,505 tons, while frozen exports have risen by 45% year-on-year to 36,208 tons. 
• Grassfed exports have risen by 56% year-on-year to 46,614 tons, while grainfed exports have risen by 30% year-on-year to 2,100 tons..
• So far in 2024, Australia has exported 342,343 of beef, 64% more than the first 10 months of 2023. 

 Fast facts: Aussie lamb exports to North America 

• Australia exported 8,048 tons of lamb to North America in October 2024 , 3% more than September and 13% more than October 2023. 
• Chilled exports have risen by 9% year-on-year to 4,528 tons, while frozen exports have risen by 18% year-on-year to 3,519 tons.
• So far in 2024, Australia has exported 83,593 tons of lamb, 30% more than the first 10 months of 2023.

According to the most recent Power of Meat study, more than a third of consumers look for “better-for” options addressing the planet, people and animal welfare; and it’s these attributes that add up to value for the money. That’s partly why despite economic pressures, willingness to pay for high-quality beef remains strong, with many consumers prioritizing beef over other proteins. While the priorities vary by consumer type, these are the top drivers leading them to grassfed proteins:

• Health benefits: Grassfed beef and lamb are often perceived as healthier options, offering higher levels of omega-3 fatty acids, antioxidants, and vitamins.
• Environmental sustainability: Australian grassfed livestock are raised on natural pastures, which supports biodiversity and reduces the need for grain-based feed, aligning with consumers' environmental values, combined with an industry commitment to be carbon neutral by 2030.
• Animal welfare: Grassfed systems are seen as more humane, providing animals with a natural diet and more space to roam, which appeals to ethically minded consumers.
• Superior flavor and quality: Many consumers prefer the consistent taste and texture of Australian grassfed meat
• Transparency and trust: Australia's stringent food safety and traceability standards give consumers and buyers confidence in the quality and origin of their meat, with 120-day shelf life on beef and certified traceability systems

• Grassfed claims: What buyers should know

  When looking to purchase beef, purchasers can have confidence in raising claims for Australian beef. With stringent certification programs being implemented throughout the supply chain, product being imported into the US as “Grassfed” has a lifetime traceable record.  

  Australia’s modern grading system, Meat Standards Australia, was developed to assess grassfed animals to guarantee eating quality and consistency in beef purchasing decisions. This means buyers can spec grassfed beef and lamb from Australia by the cut and cooking method to derive the best eating quality.

  Retail sales data for grassfed beef: Q2

  Here are the grassfed beef sales at US retail through Sept. 29, 2024:

• 13 week (July-Sept.) dollar and volume sales increased by 41.1% and 42.8% respectively vs. YAGO.
  
• 52-week dollar and volume sales increased by 32.3% and 33.2% respectively vs. YAGO.
  
• four-week (September 2024) dollar and volume sales increased by 40.6% and 39.3% respectively vs. YAGO.