US beef imports from UK set to fall as tariffs crush cost competitiveness

11 Apr 2022 --- The US imported more than £3 million (US$3.91 million) worth of red meat from the UK in January – almost double the amount shipped in the same month last year. 

According to the latest figures from the UK government, exports of pork rose almost 50% to 592 metric tons, valued at £1.8 million (US$2.34 million) – up from £1.2 million (US$1.5 million) in January 2021. Beef shipments increased from a modest 22 to 220 metric tons – worth £1.3 million (US$1.7 million). 

Lamb from the UK could also soon complement the pork and beef export figures, with the first commercial shipments expected to commence later this year.

However, the UK’s Agricultural and Horticultural Development Board (AHDB) senior export manager for the Americas, Susana Morris, is warning that beef exports will slow this year as the US beef import quota has been filled.

“The figures for January are very encouraging, and our pork exports to the US continue to grow,” she says. “Unfortunately, we are expecting our beef exports to decrease in the year ahead, as exporters now face a tariff of 26.4%, making it very difficult for the UK to compete on cost.”

Despite a strong start to the year, imports to the US are expected to slow.Meating US demand 
The US remains a key target market for AHDB’s Export team, with work ongoing to raise the profile of pork, beef and lamb from the UK to buyers across the country.

Last month, more than 40 key influencers in the US got to sample pork and beef from the UK at an AHDB-organized meat and cheese tasting event in Los Angeles, California. Guests also had the chance to meet with exporters to learn about Britain’s high animal welfare standards and traceability.

“This was the first time we have organized a tasting event in the US, and we were delighted with the reception and feedback from our American guests,” adds Morris. 

“We had a great deal of interest from buyers, chefs and butchers, who were shown cuts of red meat that differ from those in the US. They were also extremely interested in the UK’s high animal welfare standards and our hormone-free meat – all of which makes our red meat appetizing to US consumers.”

The following week, AHDB attended the first-ever SIAL America food and drink show to fly the flag for beef, pork and cheese from the UK. Held in Las Vegas, the event attracted importers from across the US and foodservice companies, distributors, retailers and wholesalers.

“We know that the US presents many opportunities for our red meat exporters, so AHDB is committed to showcasing our products to buyers across the US. We will continue to attend trade shows and host our own activities in this market to help build on these impressive export figures in the year ahead,” concludes Morris. 

Brexit opportunities 
Exporting meat to the US has been a major area of interest since the UK left the EU and lost Single Market privileges. 

Last year, the British Meat Processors Association told FoodIngredientsFirst that border controls enforced by the Brexit agreement were causing major problems for UK industry, with lost productivity and falling profits threatening businesses throughout the country. 

In September 2021, UK F&B businesses began anticipating further setbacks as the border control policies on food and agricultural produce coming in from the EU were set to be delayed by eight months, following a previous postponement of six months. 

With the AHDB forecasting further slowing of US imports from the UK, these issues look to continue haunting the British meat sector. 

By Louis Gore-Langton

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