Not only are the final 2010 results for U.S. Pork exports outstanding, but they are benefiting the U.S. balance of trade while paying dividends in terms of American jobs.

One out of every five pigs raised in the United States is exported, notes Tim Bierman, a pork producer from Larrabee, Iowa and a member of the Pork Checkoff Trade Committee. In 2010, these exports reached the second-highest volume and value results ever -  4.28 billion pounds valued at $4.78 billion – exceeded only by the record-large totals of 2008. Japan was the pacesetter for U.S. pork exports, setting a new value record of $1.65 billion. Mexico also set a new record of $986 million.
 
“While we’re seeing growth in Japan, we feel there’s additional room for growth here,” says Dan Halstrom, senior vice president of the U.S. Meat Export Federation (USMEF), the trade association that’s responsible for developing international markets for the U.S. red meat industry and is funded, in part, by the Pork Checkoff.  “The growth in Mexico was also phenomenal, and the prospects going forward are very promising.”

Other noteworthy U.S. Pork export markets in 2010 included Central/South America (up 32 percent on a volume basis), Australia/New Zealand (up nearly 10 percent), and the Caribbean (up nearly 10 percent). Canada, which is the fourth-largest export market for U.S. Pork, also showed an increase of nearly 10 percent.

“Exports are a key component to strengthening the future of the U.S. pork industry,” Bierman says. “By working together, the Pork Checkoff and USMEF are accomplishing goals that we couldn’t do on our own.”

Leveraging Pork Checkoff dollars creates multiplier effect
In 2010, U.S. Pork exports helped the red meat industry give the U.S. balance of trade a major shot in the arm, according to USMEF statistics. Total U.S. red meat exports in 2010 were valued at $8.88 billion, nearly 20 percent higher than the previous year. These exports support an estimated 107,000 U.S. jobs, according to U.S. Department of Agriculture (USDA) calculations.

“The U.S. agriculture sector not only is feeding much of the world, but it’s an important source of jobs and revenue for our country,” says Philip Seng, president and CEO of USMEF.

The value of U.S. red meat exports can be measured in many ways, Seng adds. For example, in 2010, the incremental value of pork exports equated to $43.72 for every hog that was processed.
USMEF’s proactive efforts to support exports in 80 countries around the world also help leverage the Pork Checkoff’s investment. A recent independent study conducted by IHS Global Insight, Inc., for USDA found that for every $1 expended by government and industry on market development, U.S. food and agricultural exports increased by $35.  Based on that formula, the collective $59.6 million that USMEF drew from all of its funding sources in 2010 created a $2.1 billion benefit for U.S. red meat exports.

This multiplier effect boosts exports, creates jobs and keeps the U.S. agriculture sector vibrant and profitable, Seng says.