EU Beef Prices Rise Amid Higher Supply: Rabobank Insights
- Beef prices in the EU have increased recently, according to a report by Rabobank.
- The RaboResearch report states that the largest beef-producing countries are reducing their herds.
- This year, however, beef production in the EU and the UK rose by 3% during the first eight months of 2024.
Beef Prices in the EU Rise Amid Higher Supply
Beef prices in the EU have increased recently, according to a report by Rabobank. This rise comes despite higher levels of beef supply this year, indicating stronger demand.
The RaboResearch report states that the largest beef-producing countries are reducing their herds. This trend is expected to cause the first global beef supply decreases since the Covid-19 pandemic. Brazil and the United States are projected to lead in these production declines by 2025, with reductions also anticipated in China, Europe, and New Zealand.
This year, however, beef production in the EU and the UK rose by 3% during the first eight months of 2024. Notable increases included Poland (22%), Italy (9%), and Spain (4%). In contrast, beef production in France and Ireland decreased slightly.
Beef Market Trends
Recent data shows that the average EU beef carcass price rose by 10% in week 44. Rabobank cautions that this production growth may not continue next year due to the ongoing decline in cattle numbers.
Situation in Ireland
France and Germany are facing herd reductions, while Spain’s numbers have remained stable. In contrast, Ireland’s cattle numbers grew by 5%, and Belgium saw a 2.2% increase in the first half of 2024. However, in the same timeframe last year, Ireland’s cow numbers had decreased by 3%.
Rabobank also noted that EU beef exports remain strong, as many markets continue to seek additional supply.