Drought and high supply costs are being blamed for what is the smallest US cattle inventory in decades and SA appears to be a direct beneficiary, with $195.7 million of its beef sold to the nation’s fourth-largest trade partner over the year to July.
That compares to $50.8 million worth in the 12 months prior.
The 285 per cent growth represents a runaway lead among Australian producers when broken down state-by-state.
However, NSW has also more than doubled its shipments to the US (103.5 per cent).
Western Australia recorded a 64.9 per cent lift, Victoria 73.6 per cent and Queensland 51.4 per cent, according to Australian Bureau of Statistics data.
SA Trade Minister Joe Szakacs said the demand for premium quality red meat was driving export growth for the state given its credentials for food safety, quality, environmental stewardship and animal welfare.
“South Australia's beef industry ... is fundamental in the economic activity of our regions and seeing the year-on-year growth of our exports is fantastic for the South Australian beef industry,” he said.
“We’ll continue to work closely with the industry to assist them with their efforts to attain access to new markets to further diversify.”
Research by marketing body Meat and Livestock Australia points to a nine per cent overall rise in shipments of Australian beef in May, making it the biggest month since December 2019.
Lower US exports to Japan and Korea are causing increased demand for Australian beef in those markets as well, it says.
Exports to Japan rose 31 per cent year-on-year in May and nine per cent for shipments to Korea.
South Australia’s market share of Australia’s total beef exports to the US has more than doubled this year, while its exports to all markets is valued at $407.8 million, up 107.5 per cent year-on-year.
Thomas Foods International has been a leading force behind the push, distributing more than 45,000 tonnes of meat products annually and employing almost 2000 skilled workers in South Australia.
Thomas Foods International managing director Darren Thomas said the US market remained a critical market to the company’s endeavours.
“Our investment in the region reflects our long-term commitment to providing high-quality Australian beef and lamb to American consumers,” he said.
“Our ownership and operation of a large importing and further processing facility in Philadelphia complement our operations in South Australia, creating a seamless supply chain.”
