Lower domestic beef production in the U.S. has caused imports to increase 6% through April 2014 compared to the same period a year before according to the U.S. Department of Agriculture (USDA). Weekly U.S. federally inspected cow and bull beef production through the end of May is almost 11% lower than the same period a year before. U.S. beef imports from Australia were up 26% and imports from Canada were up 11%. Total U.S. beef imports hit their highest point in April 2014 since July 2007 with Australian shipments totaling 96 million pounds – the highest monthly total from Australia in five years. Australian beef production has increased 11% and beef exports have increased 19% as drought has driven the country to a record high cattle slaughter rate. The USDA estimates that total U.S. beef imports for 2014 will reach 2.446 billion pounds – approximately 9% above 2013 levels, and estimates for 2015 are almost unchanged at 2.445 billion pounds as the rebuilding of the domestic cattle herd will take years to achieve. Given the increased demand for beef from the U.S., competition with Asia for global supplies will likely result in the coming years.
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