April 13, 2018

Do you know how important trade is for the U.S. meat industry?

by James Mintert

Growth in trade of animal products has been quite dramatic since the mid-1980s and U.S. agricultural producers – those engaged in animal agriculture and those engaged in feed grain and oilseed production – have benefited greatly. In particular, U.S. crop producers have benefited because the increase in U.S. meat exports has encouraged expansion of U.S. animal agriculture and thereby helped boost demand for U.S. produced feed grains and oilseeds.

To see this more clearly, it’s helpful to examine how dramatic the shift has been in both U.S. meat production and exports. In the mid-1980s U.S. meat production (beef, pork and poultry, combined) totaled just over 56 billion pounds per year and meat exports, to all destinations, in the mid-1980s totaled about 1 billion pounds. By 2017, U.S. meat production totaled 105 billion pounds, which was more than double its mid-1980s level. But meat exports skyrocketed, increasing 17-fold from the 1980s, and actually exceeded 17 billion pounds in 2017. That means meat exports, which averaged less than 2 percent of U.S. meat production in the mid-1980s, rose above 16 percent of U.S. production in 2017. In a span of just over three decades the U.S. went from exporting less than 2 pounds out of every hundred pounds of meat produced to exporting 16 pounds out of every hundred pounds of meat. And it did so in a time frame when total meat production nearly doubled.

Pork, beef and poultry exports all increased since the mid-1980s, but the rate of growth was not uniform across these three major meat production sectors. Beef exports increased six-fold, reaching 2.9 billion pounds in 2017 compared to less than 500 million pounds in the 1980s. Poultry exports increased 12-fold, rising from an average of 625 million pounds in the 1980s to nearly 7.7 billion pounds in 2017. But the most dramatic increase occurred in the pork sector. U.S. pork exports during the mid-80s averaged just over 100 million pounds. By 2017 pork exports totaled 5.6 billion pounds, a stunning 52-fold increase compared to three decades earlier.

Exports have turned into an important source of demand for all major meat production sectors. During 2017, 11 percent of U.S. beef production was exported, up from less than 2 percent in the 1980s. The poultry sector exported 16 percent of production during 2017 vs. about 3 percent three decades ago. And the U.S. pork sector, which exported less than 1 percent of production in the mid-1980s, exported 22 percent of U.S. production during 2017.

Future growth in U.S. meat exports will depend primarily on income growth in importing countries, competitiveness of the U.S. meat production sector and U.S. producers’ access to markets around the world. Growth in meat exports over the last three decades has facilitated growth in U.S. animal agriculture. Future growth in the U.S. meat sector will depend on continued growth in meat exports.

U.S. Meat Exports Percent of U.S. Production, 1960-2017

U.S. Meat Exports Percent of U.S. Production, 1960-2017

TAGS:

TEAM LINKS:

RELATED RESOURCES

Prospects for Swine Feed Costs in the Second Half of 2025

June 13, 2025

This article discussed recent trends in feed costs for farrow-to-finish and swine finishing enterprises, and provided projections for the second half of 2025. Average feed costs in 2024 were substantially lower than feed costs in 2022 and 2023. Moreover, a further reduction in feed costs is expected for the upcoming year.

READ MORE

Indiana Farm Income Outlook Report, Spring 2025

May 14, 2025

The Spring 2025 Indiana Farm Income Outlook, published by the Rural and Farm Finance Policy Analysis Center (RaFF),  provides updated projections for Indiana farm profitability through 2026. The report highlights a projected 40% increase in Indiana net farm income in 2025—driven largely by higher government payments—and offers insight into trends in crop and livestock markets, production expenses, and policy impacts.

READ MORE

Prospects for Swine Feed Costs in 2025

December 10, 2024

Interested in recent trends in feed costs for farrow-to-finish and swine finishing enterprises, and projections for 2025? Average feed costs in 2024 were substantially lower than feed costs in 2022 and 2023. Moreover, a further reduction in feed costs is expected for the upcoming year.

READ MORE

UPCOMING EVENTS

Purdue Flexible Lease Workshop

September 16 at 7 pm or September 23 at 9 am

The Flexible Lease virtual Workshop, presented by the Purdue Extension Land Lease Team, will include a presentation and discussion to help you decide if a flexible land lease arrangement is right for your farm.

Read More

2026 Crop Cost and Return Guide

September 16, 2025

The 2026 Purdue Crop Cost and Return Guide provides estimated costs and net returns for planting, growing, and harvesting corn, soybeans, and wheat in the upcoming year. Cost and return information presents information for low, average, and high productivity soils. Early projections point to slightly higher breakeven prices.

READ MORE

2025 Farmland Values & Market Trends

September 9, 2025

Purdue ag economists Todd Kuethe and Michael Langemeier as they discuss Indiana farmland values on this, the first of two episodes reviewing the 2025 Purdue Farmland Values and Cash Rental Rates survey results. The survey shows Indiana land prices continue to rise and are anticipated to continue a modest increase for the rest of 2025 for most of the state.

READ MORE

Farmland Prices Increase Despite Downward Pressure, Purdue Ag Econ Report August 2025

August 19, 2025

Indiana farmland prices have continued the trend of record highs in 2025, according to the latest Purdue Farmland Value and Cash Rents Survey results. The average price of top-quality farmland reached $14,826 per acre, a 3.0% increase from June 2024. Statewide, cash rents increased from 1.5 to 1.7% for poor-, average-, and top-quality land.

READ MORE