The USMEF Spring Conference shows global demand, long -term strategy for US red meat

Managers from the entire US red meat industry gathered this week when the US Feats Export Federation (USMEF) started his spring conference and brought together representatives of the entire supply chain to focus on trade, demand and the future of global meat exports.

The USMEF chairman Steve Hanson, a rancher, cattle feed and grain builder from the southwest of Nebraska, offered a message of optimism to open a message of optimism despite increasing uncertainty in terms of trading policy.

“While our industry is obviously facing many challenges, it is also a very exciting time to be in the red meat business,” said Hanson. “Our products are better than ever and international demand is excellent. There are many factors that we cannot control. It is therefore important to stay customer-oriented and not lose sight of our mission, namely the global footprint for US pork, beef and lamb.”

The USMEF President and CEO Dan Halenstrom repeated this message and emphasized the proactive global approach of the organization in view of the increasing competition.

“The best defense is often a strong criminal offense, and in many key markets we make both,” said Halzstrom. “We may defend, especially against newcomers such as Brazil, which has recently gained greater access in several key regions. At the same time, however, we are having an aggressive new opportunities in established and emerging markets.”

Halenstrom pointed out the latest expansion efforts by USMEF, including new employees in West Africa and Malaysia and an additional representative in Indonesia. He also highlighted a recent USMEF trade seminar in Accra, Ghana, which buyers from 12 African countries attracted.

Halenstrom has inspired the long -standing investment strategy of Warren Buffett and compared USMEF's international marketing efforts to those who were discussed at the latest meetings of the shareholders of Berkshire Hathaway.

“It is also what USMEF does and focuses on the long -term vision of building demand in targeted export markets,” said Halenstrom. “The global population groups grow and the middle class is growing, but it is really about purchasing power. We do not concentrate on all consumers. We want to focus on the top levels in these markets and these top levels. “

The main speaker Randy Blach, CEO from Cattlefax, provided a cautious optimistic prospects for the cattle industry, especially the reconstruction of herds. He pointed out a considerable decline in cow slaughter, which contributed to stabilizing the herd. Although the retention of the color remains slow, he believes that the bottom of the cycle is close.

“Do that [rebuild] Do you look like something like in 2014 and 2015 – the fastest expansion in the history of the industry? “Blach said. It is much, much slower, just as we expected it. And I think you have to plan that it is still a slower expansion if it unfolds.”

Blach also analyzed wider trends for the protein market and found that the emphasis on quality continues to achieve strong returns – not necessarily with a higher volume, but the willingness of consumers to pay more.

“If you look at the demand in all proteins, chicken catches 50% of the stomach, but 25% of the wallet,” he said. “Beef, on the other hand, get 25% of the stomach and 50% of the wallet. What would you prefer?”

It emphasized the persistent importance of exports that make up around 17% of the total US cattle and poultry production. Pork leads with the path at 30%, with the beef exports out of 14%.

“At the moment we are in a profitable time for cattle, pork and poultry producers,” added Blach. “And we haven't seen that for several years.”

The USMEF Spring Conference will continue until Friday.

Scroll from the event below for audio, presented by the Nebraska Corn Board.