Weekly Report on U.S. Animal Protein Markets and Health Developments

1. Weekly USDA U.S. Beef and Pork Export Sales

Beef: For the week ending October 24, 2024, U.S. beef export net sales reached 8,000 metric tons (MT), marking a marketing-year low. This represents a 43% decline from the previous week and a 45% decrease from the prior four-week average. Primary increases were noted for South Korea (2,100 MT), Japan (2,000 MT), Canada (1,200 MT), Mexico (1,000 MT), and Taiwan (600 MT). However, these gains were offset by reductions, notably a 300 MT decrease for Vietnam. Additionally, net sales of 2,300 MT for 2025 were reported, with Mexico accounting for 2,200 MT and Japan for 100 MT. Exports totaled 14,400 MT, down 9% from both the previous week and the prior four-week average. The primary destinations were South Korea (4,100 MT), Japan (3,100 MT), China (2,000 MT), Mexico (1,200 MT), and Taiwan (900 MT).

Pork: Pork export net sales experienced reductions of 14,700 MT for 2024, a marketing-year low, significantly down from both the previous week and the prior four-week average. Increases were observed for Japan (2,300 MT), South Korea (2,100 MT), Panama (200 MT), the Dominican Republic (200 MT), and Nicaragua (100 MT). However, these were more than offset by reductions primarily from Mexico (7,700 MT), China (5,000 MT), Australia (2,900 MT), Colombia (1,500 MT), and Canada (1,100 MT). Net sales of 200 MT for 2025 were reported for South Korea (100 MT) and Vietnam (100 MT). Exports stood at 35,000 MT, up 8% from the previous week and 16% from the prior four-week average. The main destinations were Mexico (12,900 MT), Japan (4,200 MT), China (3,600 MT), South Korea (3,300 MT), and Colombia (2,700 MT).

2. China’s Meat Import Trends

In October 2024, China imported 535,000 MT of meat, a 1.1% decrease from September and a 3.1% decline compared to the same month last year. Cumulatively, from January to October 2024, China’s meat imports totaled 5.475 million metric tons (MMT), reflecting a 12.5% reduction from the corresponding period in the previous year.

3. Avian Influenza Impact on U.S. Dairy and Swine

Utah’s Dairy Herds: The Utah Department of Agriculture and Food reported that the first round of mandatory milk testing in northern Utah identified avian influenza infections in eight dairy herds. This development makes Utah the 15th state to report the avian flu virus in dairy cattle since its initial detection in Texas in March 2024.

California’s Dairy Industry: California’s dairy farmers are grappling with an escalating avian flu outbreak, affecting over 170 herds since late August. This accounts for nearly half of all U.S. cases in dairy cows since March. Given California’s leading role in national milk production, the continued spread of the flu raises concerns about potential shortages, though no current disruptions have been reported. The sensitive nature of the issue has led many farmers to refrain from public discussion, despite acknowledging its significance.

H5N1 Detection in Oregon Swine: The U.S. Department of Agriculture’s Animal and Plant Health Inspection Service (APHIS), in collaboration with Oregon state officials, is investigating a backyard farm where H5N1 avian influenza was detected in poultry and, for the first time, in one of five pigs. Despite the swine showing no signs of illness, they tested positive, leading to the euthanization of all five pigs. Shared resources on the farm may have facilitated cross-species transmission. The farm has been quarantined, but the USDA assures there is no risk to the U.S. pork supply. Genomic sequencing indicates no increased human transmissibility. The National Pork Producers Council emphasized the safety of the U.S. pork supply, noting longstanding collaboration with USDA’s APHIS to monitor swine flu. The pigs on the Oregon farm were not intended for the commercial food supply.

Pigs are of particular concern regarding the spread of bird flu because they can become co-infected with avian and human viruses, potentially leading to the emergence of new, more dangerous strains that can more easily infect humans. This case contributed to the USDA’s decision to broaden its bird flu surveillance to include nationwide bulk milk testing. USDA Secretary Tom Vilsack stated that while the virus is tied to wild birds, it is essential to understand its presence in dairy and cattle. Experts advise pig farmers to remain vigilant for further infections, emphasizing the need for preparedness in managing potential outbreaks.

4. USDA’s Expanded HPAI Testing in Dairy

In response to the avian influenza outbreak, USDA’s APHIS is implementing a tiered strategy to collect milk samples for detecting H5N1 avian influenza. This initiative aims to enhance biosecurity, guide containment efforts, and protect farm workers exposed to infected animals. Bulk milk testing will commence regionally, with further farm-level sampling as necessary. USDA will collaborate with state and private veterinarians, maintaining testing requirements for cattle before interstate movement to curb virus spread. Additionally, two vaccine candidates for dairy cows are currently undergoing field trials.

5. Weekly USDA Dairy Report

Butter: In the East region, butter demand is light from the retail sector and lighter than anticipated from the food service sector. The Central region reports steady retail demand and mixed food service demand. The West region indicates steady demand from both sectors. Cream volumes are widely available, with some butter plant managers unable to accommodate spot loads. Production schedules are generally steady or strong nationwide. Bulk butter overages range from minus 5 to 8 cents above market across all regions.

Sources include:

USDA Weekly Export Sales Report

Utah Department of Agriculture and Food

Bloomberg article on California dairy avian flu outbreak

USDA Animal and Plant Health Inspection Service (APHIS) statements

National Pork Producers Council press release

Reuters interview with USDA Secretary Tom Vilsack

China Lifts US Poultry Ban On Several US States

Discover the latest developments in the U.S.-China poultry trade as Highly Pathogenic Avian Influenza (HPAI) restrictions are lifted in seven U.S. states, creating new opportunities for the poultry industry. However, delve deeper to understand that challenges persist, with 31 U.S. states still facing HPAI-related restrictions, emphasizing the ongoing importance of HPAI management and prevention efforts within the United States.

China Eases HPAI Restrictions on Poultry Imports from Seven U.S. States, Opening New Trade Opportunities

China’s decision to lift Highly Pathogenic Avian Influenza (HPAI) restrictions for seven U.S. states, as detailed in the USDA’s Global Agricultural Information Network (GAIN) report, has significant implications for the poultry industry and trade relations between the two nations.

Previously, HPAI-related restrictions imposed by China affected the importation of poultry meat, poultry meat products, and live poultry from regions that had reported cases of HPAI. However, this recent announcement signals a positive change in trade dynamics. The General Administration of Customs of China (GACC), through its Department of Animal and Plant Quarantine (DAPQ), conveyed to the U.S. Embassy in Beijing that these restrictions are no longer applicable to the following seven U.S. states: Kentucky, Oklahoma, Delaware, North Carolina, Maine, Maryland, and Texas.

Avian Flu

31 U.S. States Maintain Poultry Export Hurdles to China

While this development is undoubtedly welcome news for the poultry industry in the affected states, it’s important to note that 31 U.S. states still have HPAI-related restrictions in place for their poultry exports to China. This underscores the continued significance of ongoing efforts to manage and prevent the spread of HPAI within the United States.

In response to this change, the USDA FSIS Export Library for China was promptly updated on November 13, 2023, to reflect the revised status of these seven states. Additionally, USDA’s Animal and Plant Health Inspection Service (APHIS) Veterinary Services initiated updates to its export guidance, ensuring compliance with China’s new regulations. These adjustments in regulatory guidelines are crucial for facilitating the smooth export of poultry and related products to the People’s Republic of China (PRC).

The lifting of HPAI restrictions for these select U.S. states not only benefits the affected regions but also signifies ongoing efforts to maintain and strengthen trade relations between the United States and China in the agricultural sector. Monitoring further developments in this regard will be essential for stakeholders in the poultry industry and international trade.

Interesting: Top 100 USA Poultry Companies

Egg prices sky-rocket in South Africa

Discover the impact of avian flu on South Africa’s egg prices. Learn how a shortage of poultry stock has led to significant price hikes.

<h1> South African Egg Prices Soar Amidst Avian Flu Outbreak </h1?

Egg prices in South Africa have surged due to the ongoing outbreak of avian flu. In just one month, the cost of 60 eggs has risen three times faster than the inflation rate. South Africa is currently facing a severe shortage of both chicken and eggs, as a highly pathogenic avian influenza strain has caused significant losses in poultry stocks.

The South African Poultry Association (SAPA) reports that 5 million birds have been culled this year, accounting for 20% of the country’s commercial layer flock. Furthermore, 30% (2.5 million) of the national broiler breeder population, which produces the genetic stock for chickens, has been culled. This has led to a scarcity of egg-laying hens and a substantial increase in poultry product prices across the country.

Data from the Pietermaritzburg Economic Justice and Dignity Group (PMBEJD) reveals that egg prices have surged by 20% from September to October 2023 alone, marking a 36% year-on-year increase. The cost of 60 eggs has risen from R136 to R162 during this period, almost three times the Consumer Price Index (CPI) increase of 8.1% recorded in September 2023.

The Association of Meat Importers and Exporters of Southern Africa (AMIE) reports that some wholesalers have also seen a 20% price increase for whole birds and chicken hearts, a 17% increase for chicken necks, and a 25% increase for chicken carcasses and bones.

Deputy President Paul Mashatile announced at the end of October that the government would soon provide a support package for farmers affected by the avian flu outbreak. This response came after calls from the poultry industry for government assistance to address the outbreak, which has resulted in significant losses and quarantines affecting 12% of the country’s chicken industry.

While the local poultry industry has taken measures to mitigate shortages, such as importing over 50 million hatching eggs over the next six months, it is expected that the shortage will persist for some time. Fully restoring the parent stock of chickens in the country is estimated to take between 12 to 18 months, even with the avian flu under control, according to the AMIE.

Will South Africa Run Out of Chicken and Eggs Amidst a Bird Flu Crisis?

Source: Businesstech

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