Following a weekly Industry At A Glance column and last month’s monthly column addressing beef demand and its influence on fed cattle prices, I received some feedback from readers.    Much of the correspondence was seemingly more focused on the importance of supply – specifically the influence of imports. 

For example, one reader noted, “The real market dynamics would seem to be impacted by the loss of COOL. Demand is more supplied with foreign beef marketed as U.S. beef.” Then, there was this question, “…what is the dollar value of beef imports coming into our country?” 

That very topic was addressed in this column last year and will be updated in coming weeks with new USDA data - see beef exports versus imports. The discussion highlighted exports, but also noted that, “…many producers often ask, But what about imports? Don’t they offset the value of exports? …Last year’s exports exceeded import value by $1.6 billion. In other words, beef’s ‘trade balance’ was positive and the beef industry benefitted from its trade status.”

However, that inherently leads to the next question: “What is the influence of live cattle coming into our country?” This week’s graph specifically addresses those trends.  

There are three sources of imported cattle that contribute to the beef supply: feeder cattle from Mexico, feeder cattle from Canada, and slaughter cattle (bulls, cows, steers, heifers) from Canada.  

Related:What’s the big deal with beef and China, anyway? Or Canada, for that matter

A couple of items are important:

In total, the three sources of cattle represent approximately 1.88 million head during 2018; that’s compared to a total U.S. slaughter last year of just slightly more than 33 million head.

It’s also important to note feeder cattle make up the overwhelming bulk of cattle imports (nearly 80%) – cattle imported by backgrounders and feedyards (i.e. cattle producers – NOT packers) and represent an important means of generating value for their respective businesses.  

Cattle imports from both Canada and Mexico have long been a source of controversy within the beef industry. Based on this data, what’s your perception of the importance of those cattle? Leave your thoughts in the comments section below. 

Related:They may sound similar, but Mexico’s proposed beef grades don’t make grade

Nevil Speer serves as an industry consultant and is based in Bowling Green, KY. Contact him at [email protected].