Poultry production is also expected to grow, but will down slightly compared to 2017.
In 2018, global beef and pork production are expected to expand, the third consecutive year of growth for beef. Poultry production is expected to decline slightly in 2019 compared to 2017.
“Rabobank expects animal protein production to increase in all regions, with total production growth once again surpassing the 10-year average,” said Justin Sherrard, global strategist – Animal Protein at Rabobank. “This strong production increase is mainly being driven by Brazil, China, and the US.”
Rabobank went on to say that although there will be expansion and uncertainty, much of the risk in 2018 will come from the overlay of politics in trade policy with NAFTA negotiation, Brexit and the US-China trade relationship.
In regional outlooks, Rabobank said North America might experience some trade uncertainty, but the expansion will increase because of the continent’s need for trade.
In China, the expectation is for the pork market to enter a down period, with imports set to rise. Poultry is expected to stay flat, while the beef supply grows thanks to strong demand for imports.
In the European Union, the ambiguity of Brexit and its impact makes it difficult for clear projections on the market.
Brazil and Argentina are set to increase beef production by 5 percent and 4 percent, respectively, with Brazil also expanding poultry and pork production.
Southeast Asia stays focused slowing poultry production since there is an oversupply. Beef demand will continue to be met by imports, with the price being the primary focus in trade decision making.
Lastly, Australia and New Zealand expect its beef and lamb production to remain steady in 2018.