Rabobank's Q1 beef report predicts continued strong global demand
The growing Chinese market will bolster the trend.
Rabobank released its 2014 Q1 trend report on the beef industry forecasting continued strong market fundamentals and continued strong global demand led by a the Chinese market.
The organization's research team predicts that beef market fundamentals remain positive, with prices driven up across the globe in Q1 2014 by firm demand as well as further tightening supply due to drought-induced herd retention in the US and adverse weather conditions in Brazil and Australia. Combined with fluctuating exchange rates, these events have impacted competitive positions in export markets, with Brazil and Australia gaining export share in Q1 at the expense of the US.
Beef demand growth, meanwhile, will continue to come mainly from China, although it is not expected to match 2013's growth in demand.