August 30, 2002

A slight increase in U.S. pork variety meat exports offset declines in pork muscle cut exports during the first six months of 2002 but still resulted in a decline of 3% in volume, to 359,291 metric tons, and 5% in value, according to USDA export statistics.

The U.S. Meat Export Federation reports that exports of U.S. pork muscle cuts for January-June 2002 were 4% lower in volume (272,559 tons) and 5% lower in value ($688 million), when compared to the same period in 2001.

A small decline in the volume of exports to Mexico (down 3% to 56,110 tons) and a large decline in exports to Russia (down 60% to 7,209 tonst) were offset partially by a 2% increase in exports to Japan and significant increases to Canada, South Korea and China/Hong Kong.

Sales to Russia were hit hard by competition from cheaper Brazilian products, which, according to the most recent Russian statistics (Jan-May), now account for 53% of Russian imports.

Exports of U.S. pork variety meats increased 1% though June, to 86,732 tons. The leading market, Mexico, bought 28% more U.S. pork variety meats (50,645 tons), while exports to China/Hong Kong fell 16% to 16,969 tons, due to problems obtaining import permits in the aftermath of China's joining the World Trade Organization (WTO).

Pork variety meat sales to Russia also were hard hit by competition from Brazil and fell 82% to 888 tons.