The following Global Agricultural Information Network (GAIN) reports were released on Monday, September 21, 2020. FAS/Canberra’s sugar cane production estimate for Australia is revised down for MY 2020/21 to 31 MMT, from 32 MMT previously, as dry conditions had a greater impact than first considered on production volumes. In addition to lower-than-expected sugar cane production, sugar content of the cane this season is down due to a mild winter. This has resulted in a downward revision of sugar production for MY 2020/21 to 4.3 MMT. If realized this would be nearly the same as MY 2019/20. Australia’s sugar exports are also revised lower to 3.4 MMT in MY 2020/21, down from 3.6 MMT in MY 2019/20.
Weekly report as of September 18, 2020, of COVID-19 impact on Indian port operations.
Japan’s Ministry of Economy, Trade and Industry (METI) invites public comments on its proposal to shorten the eligibility window for previously approved and future biomass projects under its feed-in tariff (FIT) program. METI will accept public comments on the proposal submitted before October 6, 2020.
Post expects a larger drop in pork production of 20 percent in 2020 as African Swine Fever remains a major concern in Luzon and parts of Mindanao. Chicken production is also likely to decline by 15 percent this year, reversing the initially bullish outlook. Demand for beef, pork, and chicken remains weak due to limited operations of the food service sector and other COVID19 quarantine restrictions. Although shipments of chicken leg quarters and pork have slowed significantly, imports of mechanically deboned chicken meat remain strong due to the growing demand for processed meat products during the pandemic. Farm gate prices of meat and poultry continue to increase, but retail prices have remained relatively stable as a result of the Philippine Price Act. Beef and pork imports are forecast up in 2021, while chicken imports are expected to maintain their current level, as demand recovers and quarantine restrictions are loosened.
Steady demand for chicken meat and ample feed supplies are expected to lift production to 4.725 MMT (RTC) in 2021. Exports in 2021 are projected at 220,000 MT (RTC) with shipments to traditional and recently opened markets expected to grow at a slower rate than the 22 percent growth in 2020 driven by entry into the Chinese market. A weaker ruble will spur export initiatives but harm margins from domestic sales. In this environment, leading poultry companies are expected to increase their market shares at the expense of smaller players. On June 16, 2020, Taiwan was officially recognized as free from foot and mouth disease (FMD) without vaccinations by the World Organization for Animal Health (OIE). Taiwan has been shut out of the global pork market since a 1997 FMD outbreak. The loss of export markets forced Taiwan producers to focus on pork production for the Taiwan market, which resulted in the reemergence of more traditional swine production practices. While Taiwan now has an OIE-recognized FMD-free status, Taiwan remains as an epidemic area for classical swine fever (CSF). CSF will need to be addressed by Taiwan’s animal health regulatory authorities to enable Taiwan pork producers to fully participate in the global pork market.
For more information, or for an archive of all FAS GAIN reports, please visit gain.fas.usda.gov/. |
