Developing Countries How U.S. Red Meat is Perceived in Other Countries
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1 6/5/05 Developing Countries How U.S. Red Meat is Perceived in Other Countries Sustainability.Food Security.Food Waste PAUL CLAYTON, U.S. MEAT EXPORT FEDERATION 68 th RECIPROCAL MEAT CONFERENCE National Geographic November 04 60# Annual food loss for a US Family of 4 Asian Retail Stores Alibaba.com Latin America Retail Stores Others Using This Platform Costco Neiman Marcus Saks 5 th Ave Ann Taylor 04 $5 Billion US/China Europe Retail Stores 00 $9 Billion US/China
2 6/5/05 Sufficient Food for the World Exports Impact Food Security WHO: Food Security: when all people at all times have access to sufficient, safe, nutritious food to maintain a healthy and active life. Commercially Food Security= US helps fill the gap between demand and a country's self sufficiency 5,000 0,000 5,000 Series Series 0.9 Billion Population Growth to , Global Middle Class in % of the World Population Lives out of the US, 80% of the buying power Source: United Nations, Department of Economic & Social Affairs, Population Division (03), OECD Development Center, 00 80% 60% 40% 0% 0% Under-developed, Developing and Developed Countries Gross Domestic Product (05) Developing: China Mexico Philippines Columbia Peru Egypt Vietnam Indonesia Malaysia Gross domestic product (GDP) based on purchasing-power-parity (PPP) per capita Darkest red: highest GDP per capita (PPP) Medium red: medium-high GDP per capita (PPP) Light red: medium-low GDP per capita (PPP) Lightest red: lowest GDP per capita (PPP) Source: International Monetary Fund World Economic Outlook Database, April 03. Source: The World Bank US Red Meats in Developing Countries Importance of Variety Meats Developing Countries Volume (MT) 400, ,000 00,000 00, Series Series Series3 Developing Countries Value ($US) $,600,000 $,400,000 $,00,000 $,000,000 $800,000 $600,000 $400,000 $00,000 (000) $ Beef: Retail and some food service Pork: Retail and further processing Lamb: Food Service Developing Countries Percent Variety Meats Series Series Series3 Developing Countries Value by Product,400,000 ($US),00,000,000, , , ,000 00, Source: 04 USMEF & USDA Series Series Series3 Series Series Series3 Series4 Series5 Series6 Source: 04 USMEF & USDA
3 6/5/05 US Pork Market Opportunity US Beef Market Opportunity MEXICO PORK MEXICO PORK CHINA BEEF CHINA BEEF 65% COLUMBIA PORK 35% 8% COLOMBIA PORK 9% 70,000MT 6 Competitors 94% EGYPT BEEF 6% 9% EGYPT BEEF 9% 35,000MT 8 Competitors 74% 6% 9% 7% 43,000MT 5 Competitors 57% Source: 04 USMEF & World Bank 43% 73% 7%,000MT US Beef Value Optimization U.S. Pork Value Optimization Tongues to Japan & Mexico - $3.40/lb. $.00/lb. domestic $.40/lb. premium = $5.00/head Livers to Egypt - $0.53/lb. $0.0/lb. domestic pet food value $0.33/lb. premium = $4.00/head Short Plates to Asia - $.64/lb. $.05/lb. domestic trim value $0.59/lb. premium = $4.3/head Bungs to Asia- $.50/lb. $.0/lb. Domestic $.30/lb. premium=$.45 Feet to China Today $56-$.80/ lb. but without the export markets the price could be $.0/lb. Hams to Mexico, South America and Asia: Today $.65/lb. but without the export markets the price could be $.50/lb. Bone-in Chuck Short Ribs Asia - $3.00/lb. $.50/lb. domestic $.50/lb. premium = $.80/head 04 Total Beef and BVM =.M MT $7.B Variety Meats 338K MT $838M Source: USMEF Loss of these items in the export markets would amount to $9.0/Hd. 04 Pork and PVM.M MT $6.7B Variety Meats 56K MT $.0B Source: USMEF Raw Material for Processing Japan Taiwan 3
4 6/5/05 Sacred to the US Beef Competition Pork Competition Why Is Thin Slicing Popular In Foreign Cuisine? Yakiniku (Korean Barbeque) Historical Meat Quality Minimal Grain Feeding Old cows, bulls, sows and boars Flame broil or slow roast Cultural Present Day Asia High marbling, Streaky Fat Fat flavor Family style dining Camp fire effect Pre-cut individual cuts chop sticks Latin America Prefer lean cuts - tougher Price point cuts Chop and mix with other ingredients Hand held 4
5 6/5/05 Carne Asada (Mexican Bar-B-Q) Hot Pot, Rice Bowl and Shabu Shabu Tonkatsu (Japanese Pork Cutlet) Lamb cuts - Asia Lamb Shoulder Ribs, Dinner Ribs (Lamb Chuck Short Ribs) - Western Cuisine: BBQ Lamb Ribs - Oriental Cuisine: Double Boiled Chinese Herbal Soup - Indian Cuisine: Curry Lamb Ribs Lamb Breast Bone -Indian Cuisine: Curry Lamb -Meat crumbs for Lebanese/Indonesian rice dish Lamb Cuts - Caribbean Beef Hind Shank - Asia Lamb Belly Capitalize on Pork Belly trendiness to give application idea Show versatility as Beyond Bacon [Pancetta!] Bolero s Lamb Belly Appetizer Craft s Lamb Pancetta with Fig Salami Lamb Loin Double Chop Only one per loin as there is only one rib bone left in the break Special to the USA! Steakhouse cut beyond rack Menu Application: Cold cut beef heel steak with garlic vinegar dip New Menu Application: Japanese table-top grilling- Yakiniku (Wet Aged, thinly sliced, 4- millimeter thick, lightly flatten) Deep fried beef heel steak as appetizer 5
6 6/5/05 Beef Brisket - Mexico Pork Brisket (Deckle) - Mexico It is cubed or chopped in small pieces Complement in Stocks and soups : Puchero, Birria Stews (Guajillo, Morita and Pasilla sauces) Marinated in Achiote sauce, sliced, piled and spin roasted for pastor tacos Chopped and cooked in lard for Carnitas Cubed and included in Pozole Pork Shoulder Butt Beyond BBQ Caribbean Summary PIZZA Sliders Mighty Cone Developing countries are key to the red meat industry because of their growing economies and purchasing power for red meat products. The US can get the most out of value from countries that have lower self sufficiency Diversity of meat products to meet consumer demand Products have to fit the local cuisine at an acceptable price point Superior quality attributes, versatility and consistency of US meat product creates demand in foreign markets CT Butt Country-style Ribs Jerk Pork on Bammy Crudites 6
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