Russian foodservice market contracts in 2016

According to the Russian Federal Statistics Service (Rosstat), turnover of restaurants and cafes in Russia fell by 5.5 percent to 1.3 trillion rubles in 2015. In the first half year of 2016, turnover of restaurants, cafes and bars fell by 3.7 percent to 615.9 billion rubles in comparison to the same period of 2015.

An article in Russian media noted: turnover in the second quarter of this year - by 2.5%, to 321.1 billion rubles. Rosstat is the agency that published detailed data on the Russian economy. According to Rosstat, Russia's GDP has been declining for six consecutive quarters. Since the beginning of the crisis, the Russian economy has lost 5.5% of GDP. In the first quarter of 2016 Russian Nielsen Consumer Confidence Index fell to record lows. Further details in a range of matters in food are in the USDA FAS GAIN report released 15 August 2016.

Brazilian state Mato Grosso sees big fall in shipments to China

China, which has been the largest purchaser of Mato Grosso meat, decreased in June, turnover in 61.9% "in the collection, on-month." The IMEA - Mato Grosso Institute of Agricultural Economics - believes that it is a "strange particularity in minimal" and that the reduction of purchases by the Chinese generated "concern to the market." The devaluation of the dollar against the real (passing from 20% in January so far) "negatively affected Brazilian exports" and meat sales abroad are having "negative growth since May." Sales last month were 0.67% lower than in June. "It is the smallest value obtained from 2013 in a month of July."

Business were $ 71 million (in 2015 was 97 million dollars) and last month 72 million. World Beef Report noted: China show recovery signs but negotiations are hard. The Chinese beef market “is not yet adapted” to the prices required by the Mercosur industry. Operators working in that market coincide that demand show signs of recovery but that are not yet transferred to prices. A trader reports a shipment of shin & shank from Uruguay at US$/t 4,900 CFR, 5+8 rib at US$/t 3,200 CFR and knuckle at US$/t 4,800 CFR. Brazilian fresh beef sales to China sunk to 3,495 tons swt in July, the lowest volume in the trade current since June of last year, when China reopened its market for Brazilian fresh beef. A worse competitiveness of exporters due to a currency revaluation, the problems of Chinese importers to accept the prices asked by exportation and improvements in other markets that compete for the same cuts, like Russia, were the reasons for such a sharp fall.

FAO - Technical advances could be the key to progress in the Puerto Rican livestock industry

"Puerto Rican livestock producers of beef only represent a10% of this market, despite the huge potential for growth", said the president of the Farmers Association, Héctor Iván Cordero."This is an industry that, if given the attention it needs, has a bright future," he pointed out.
FAO maintains a service to cover Latin America and the Caribbean. The full publication in Spanish is here. "What has to be done is to standardize the industry and bring about the changes through regulations. The most important livestock sector in Puerto Rico is the milk. It represents 25% to 29% of the agricultural gross income although in recent years has been in decline. The meat is not in the same place because it is a sector that has not been properly exploited, but the potential is tremendous, "said the president of the Farmers Association. According to the last agricultural census of Puerto Rico, made in 2012, on the island there are 2,276 farms with beef cattle. In these there are about 96,000 head of cattle, representing an increase of 30% compared to 2007.

USDA and ICRA India reports - India Buffalo Exports

USDA article: From Where the Buffalo Roam in June 2016 set the scene.
ICRA India followed in August 2016 with an article.

Courtesy ICRA

Recent figures indicate some shrinkage of the Indian buffalo market segment but huge shipments to Vietnam and Malaysia, in particular, continue.
FAO produced an earlier report, which is online in full, The report also includes some interesting photographs.
A very interesting USDA ERS chart indicates the competitive nature of Indian buffalo in terms of competitor pricing.

Australian meat export unit values ease in June quarter 2016

Australian beef export unit values are down from the peak level but still remain within historical high levels.

The 6 period moving average is now around AUD $7 per kg FOB. The figures are derived from ABS beef export volumes and values published in the last month.

Russian beef market collapses for Brazilian exporters

Latest figures published by Brazilian organisation ABRAFRIGO show that for the 7 months ended July 2016, Brazilian beef exports to Russia dropped 25% in volume and 38% in value. Unit value was a rather low figure of US$2,814 per tonne in 2016 on volume of 77,743 tonnes and US$218.8 million sales. Jan-July 2015 unit value was US$3,380 per tonne.

Latest USDA FAS report noted "In 2016 beef production is forecast to decline 3.3 percent to 3.310 MMT CWE as cattle inventories decrease 1.6 percent due to stagnation of the Russian dairies which supply most cattle for slaughter. The forecast for beef imports is 630,000 MMT CWE, flat year-on-year. Imports account for 32 percent of total beef supplies and push prices up while beef consumption will decline by 2 percent after a 14 percent drop in 2015"

Record high young cattle prices in Australia see producer share 67%

Based on yield weighted major supermarket catalogue retail prices and calculating cattle producer share based on a carcase weight adjusted price per kilogram, Australian producers are enjoying a record share of the retail consumer dollar.