Ranking of Countries for Future Growth in World Beef Trade
Sparks Companies, Inc., a widely-respected marketing and management firm, recently conducted a study on the potential competitiveness of various nations in future global beef trade. Their predictions are based on a detailed analysis of the following factors: live animal production costs, processing costs, domestic demand, social factors, government policy, business climate, product differentiation, product quality, and monetary exchange rates among 14 different countries. Based on these factors, they ranked the relative competitiveness of each country for both grain-fed and grass-fed beef production.
For grain-fed beef the rankings were: 1) Brazil; 2) Argentina; 3) Uruguay; 4) Canada; 5) Australia; 6) USA; 7) Mexico; 8) New Zealand; 9) Central and Eastern Europe; 10) Russia; 11) China; 12) Korea; 13) EU; and 14) Japan.
For grass-fed production, the nations ranked: 1) Brazil; 2) Argentina; 3) Uruguay; 4) New Zealand; 5) Australia; 6) Mexico; 7) Russia; 8) Canada; 9) Central and Eastern Europe; 10) USA; 11) China; 12) EU; 13) Korea; and 14) Japan.
The report went on to say that for the future, the U.S. is expected to plateau at present levels, while Brazil, Argentina, Uruguay, Australia, and New Zealand are expected to supply most of the growth in the world market for beef—with low variable costs and plentiful supplies of grain and forage being big advantages for the South American countries. However, the report cautioned that South America's beef growth could be limited if disease control issues surface or if there is an inability to obtain capital to further assist in beef industry expansion (SOURCE: Sparks Companies, Inc., Memphis, TN).
[September 30th, 2005]
Dr. Rick Rasby, Professor of Animal Science
Animal Science, University of Nebraska - Lincoln, Lincoln, NE
Sparks Companies, Inc., a widely-respected marketing and management firm, recently conducted a study on the potential competitiveness of various nations in future global beef trade. Their predictions are based on a detailed analysis of the following factors: live animal production costs, processing costs, domestic demand, social factors, government policy, business climate, product differentiation, product quality, and monetary exchange rates among 14 different countries. Based on these factors, they ranked the relative competitiveness of each country for both grain-fed and grass-fed beef production.
For grain-fed beef the rankings were: 1) Brazil; 2) Argentina; 3) Uruguay; 4) Canada; 5) Australia; 6) USA; 7) Mexico; 8) New Zealand; 9) Central and Eastern Europe; 10) Russia; 11) China; 12) Korea; 13) EU; and 14) Japan.
For grass-fed production, the nations ranked: 1) Brazil; 2) Argentina; 3) Uruguay; 4) New Zealand; 5) Australia; 6) Mexico; 7) Russia; 8) Canada; 9) Central and Eastern Europe; 10) USA; 11) China; 12) EU; 13) Korea; and 14) Japan.
The report went on to say that for the future, the U.S. is expected to plateau at present levels, while Brazil, Argentina, Uruguay, Australia, and New Zealand are expected to supply most of the growth in the world market for beef—with low variable costs and plentiful supplies of grain and forage being big advantages for the South American countries. However, the report cautioned that South America's beef growth could be limited if disease control issues surface or if there is an inability to obtain capital to further assist in beef industry expansion (SOURCE: Sparks Companies, Inc., Memphis, TN).
[September 30th, 2005]
Dr. Rick Rasby, Professor of Animal Science
Animal Science, University of Nebraska - Lincoln, Lincoln, NE