Source:  Tom Johnston, MEATINGPLACE.COM, 2/25/10

Japan remained a leading trading partner for the U.S. beef and pork industries in 2009 despite a reduction in total retail and foodservice spending caused by the global economic downturn, the U.S. Meat Export Federation said.

In calendar year 2009, U.S. pork sales in Japan — the No. 1 market for U.S. pork export value — all but matched the all-time value record established one year ago ($1.54 billion versus $1.545 billion in 2008).

USMEF noted the global pork industry slumped 15 percent in 2009 compared with 2008, and Japan's supermarket sales fell 4.3 percent, to a 21-year low of 12.83 trillion yen (about $142.6 billion). Meantime, Japan's foodservice sales slipped 1.5 percent, marking the first decline in the past six years.

In this same environment, sales of U.S. beef in Japan rose 23 percent over the previous year in volume and value while the global market for all beef exporters dropped 16 percent.

"Because of its strong currency and financial stability, there has been a tendency to think of Japan as an oasis in the global economic downturn," USMEF president and CEO Philip Seng said in a news release. "But make no mistake about it, Japan's retail and food service sectors have faced serious challenges in recent months. One of the keys to growing market share for U.S. beef and pork in this economic environment has been to meet these challenges with products that deliver tremendous versatility and value."

The United States now boasts 46 percent of the imported pork market share in Japan, up from 30 percent 2004 and 72 percent of the chilled pork market. Since re-entering the market after BSE-related bans, U.S. beef market share also is on the rise, doubling to 20 percent of the market in 2009 from 10 percent two years earlier.

"Japan will always be a destination for the finest cuts of U.S. pork and beef," Seng said. "But obviously when you're facing tough economic conditions, it's important to feature products that appeal to a wide range of consumers. The U.S. meat industry's ability to deliver products of tremendous quality, value and versatility has been critical to the success we are seeing in Japan."