Port of Oakland has recorded a 25% increase in beef exports, almost exclusively to Asia for the period between January and July, according to the port’s data.
In particular, Oakland exported 25,200TEU of beef through July, which is estimated that accounts for US$1.5 billion through the first seven months of 2021. The total beef exports in the corresponding period of the previous year were 20,100TEU.
The port called the surge “extraordinary” in a year when shipping disruptions have hobbled global supply chains. “Demand for high-qualify US meat products is off the charts,” noted Port of Oakland Maritime Director, Bryan Brandes.
Asian markets have received nearly all of the beef exported from Oakland by container volume this year.
The percentage breakdown by country:
- Japan – 55%
- China (including Hong Kong and Taiwan) – 24%
- South Korea – 19%.
The export boom was driven by soaring demand for US beef in China. Even though American-produced beef accounts for 5% of all containerised exports to China, Covid-related restrictions on restaurant dining have triggered a jump in Asian retail beef sales, the Port of Oakland explained.
The eight busiest US port has significantly expanded chilled and frozen cargo handling capacity in the past five years and the elevated beef exports validate its investments in the international cold chain.
California and Midwest producers ship tons of beef to Oakland in rail cars. The products are transferred at the temperature-controlled storage facilities in the heart of the Oakland Seaport to containers and then move down the street, waiting for ships.
Oakland is a principal US gateway for beef exports to Asia given the fact that most ships make Oakland their final North American stop before returning to Asia.
The port credited US beef producers with sustaining the export boom despite shipping woes. “Shortages of containers and vessel space have restricted exports throughout 2021, while shortages of refrigerated containers – essential for beef shipments – have been particularly acute,” stated the port and added that exporters displayed diligence in finding the means to get cargo on ships.