STRONG beef demand in preparation for Chile's national day celebrations coupled with tight South American supplies resulted in a 247 per cent month-on-month rise in Australian beef exports to Chile in July, totalling 2041 tonnes shipped weight (swt).
Shipments from Australia to Chile during the first seven months of 2011 were also the highest on record, at 6,339t/swt - up 157pc on the same period in 2010.
Shipments for 2011 are also 108pc higher than during the seven months to July in 2008 - when total Australian exports for the calendar year reached a record 9,831t/swt.
In 2011, the main cuts exported from Australia included thick flank/knuckle (36pc of the total), blade (11pc), topside/inside (11pc), silverside/outside (10pc) and chuck roll (7pc).
During 2011, Chile has experienced economic conditions similar to those prior to the GFC, with stable domestic beef production (accounting for 50pc of total domestic consumption) and tight supplies available from neighbours, Argentina, Brazil and Paraguay.
Growing disposable income among Chileans also increased demand for higher-priced proteins, notably beef.
Total Chilean beef imports for the first seven months of 2011 were down 9pc year-on-year, to 62,739t/swt, with average prices increasing 24pc to a record US$6,011/t.
Tight supplies and dear Paraguayan beef was the main contributor to the decline, falling 26c year-on-year, to 34,825t/swt, at an average price of US$6133/t.
Although shipments from Brazil and Argentina were slightly higher year-on-year, volumes were much lower when compared with mid-2000's levels.
While prices are expected to ease in early September, short supplies from the region are expected to result in higher year-on-year average prices for the remainder of 2011 and into 2012.
