All U.S. pork muscle cuts are eligible for restricted sale, which means they must be shipped directly to approved facilities in South Africa for further processing. U.S. pork exports to the Australian and New Zealand processing sectors face similar restrictions. Certain U.S. muscle cuts are eligible for retail sale in South Africa, but these cuts must be free of visible lymph nodes and excessive connective tissue, presenting fabrication and certification challenges for U.S. slaughter and processing plants. This goes beyond the current access conditions in Australia, where U.S. pork is not permitted to be sold at retail. New Zealand allows some retail access for U.S. pork, but only in packages of 3 kilograms or less. All U.S. pork destined for South Africa, regardless of whether for retail sale or for processing, must be frozen to meet trichinae mitigation requirements. Under the recently completed agreement, U.S. pork variety meat is not eligible for export to South Africa.
U.S. Meat Export Federation regional representative Monty Brown visited South Africa earlier this year to meet with buyers and other food industry contacts in anticipation of the market reopening to U.S. pork.
South Africa imported about 38,500 mt of pork in 2015, valued at $81.8 million, with Germany, Canada and Spain being the primary suppliers. This was an increase of 55% in volume and 36% in value from 2014, though still down slightly from the peak volume level of 2011 (41,371 mt) and the peak value level of 2012 ($98 million). The increase in imports in 2015 was mainly due to recovery in the volume of Canadian pork (7,742, +361% after being priced out of the market in 2014), and Spanish pork (7,444 mt, +219%) entering South Africa. Frozen pork cuts accounted for more than 80% of import volume, with ribs (mainly from the EU) increasing 12% to 16,212 mt. Other frozen pork cuts saw more dramatic growth to 14,358 mt, up 281%, with the increased volume coming mainly from Canada, Germany and Spain.
With U.S. pork reentering the South African market after a significant absence, displacing existing suppliers will present a challenge – especially considering the access limitations that remain in effect. However, U.S. pork has achieved success in markets with similar import restrictions – Australia, for example, is currently the seventh-largest destination for U.S. pork. While most of the U.S. export volume will likely be utilized for further processing, South Africa’s rapidly developing retail sector could also offer future opportunities for differentiating and merchandising U.S. pork cuts.
Original article March 14, National Hog Farmer