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USDA International Egg and Poultry

13 June 2012

International Egg and Poultry Review: US Leg Quarter Cold Storage HoldingsInternational Egg and Poultry Review: US Leg Quarter Cold Storage Holdings

Mexico was the top market for US leg quarters for a majority of 2011 (January-September 114,425 MT).
USDA International Egg and Poultry

In October 2011, Angola took the lead with a total of 128,982 MT from January-October (Mexico 126,826 MT). Yet Russia surpassed all others in the remainder of 2011 becoming the top export market for all US leg quarters in 2011 with a total of 168,609 MT (Mexico 153,264 MT).

In 2012, Mexico was the second largest export market of US leg quarters behind Cuba in January and Russia in February. In March and April of 2012 Mexico fell to third behind Russia and Cuba. However due to limited market access resulting from various trade issues with Russia and China (i.e. Russia’s reduced quota, China’s anti-dumping and countervailing duties) the US has had to develop other markets for its leg quarters. As a result, Mexico has become more of a significant market for US leg quarters. US shipments to Mexico increased 21% from 2008-2009, 37% from 2009-2010, and 2% from 2010-2011. However shipments have declined 17% from January-April 2012 versus the same period in 2011.

US leg exports to Mexico declined 30% from 2008-2009 and increased 17% from 2009-2010, 60% from 2010-2011, and 19% from January-April of 2012 versus the same period in 2011. The leading market for US legs in 2012 is South Korea, which has been the top market since 2010. Prior to 2010, China had been the largest market for US exports.

Presently, the final determination in the anti-dumping case regarding US fresh, chilled, or frozen leg quarters (HS0207.13.03 and HS0207.14.04) has not yet been released. Under Mexican law, a final determination will have to be reached by August 2012. According to the preliminary determination issued January 19, 2012 price discrimination margins were between 62.90% and 129.77% for businesses/exporters.

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