Argentina rescinds beef export suspension amid sector agreement talks

On Tuesday (15), the government of Argentina communicated it would be enacting a 15-day beef export suspension.

This decision came about due to the 30% surge in the price of cattle following a currency devaluation.

However, as reported by Clarín, the government revised its stance post a meeting with sector representatives and now announces its intention to forge an agreement to ensure both domestic market supply and continued exports.

“We are collaborating with the sector to establish an agreement regarding volume and prices to satisfy the local market while maintaining exports,” stated Guillermo Michel, the General Director of Customs.

Juan José Bahillo, the Secretary of Agriculture, Livestock, and Fisheries, took to Twitter to assert that “there will not be a suspension of meat exports.”

The chart below shows the beef export volume (in TEUs) from Argentina between Jan 2019 and Jun 2023. The data is from DataLiner.

Beef exports from Argentina | Jan 2019 – Jun 2023 | TEU

Source: DataLiner (click here to request a demo)

The rise in cattle prices by 30% is expected to be passed on to butchers over the weekend.

This marks the second increase in a span of 15 days, with a prior 20% escalation observed on July 1.

President Alberto Fernández’s administration has recently implemented measures to curtail inflation, which has exceeded the 115% threshold.

In 2021, the country imposed a temporary embargo on beef exports for a month, leading to protests within the productive sector.

Source: Canal Rural

To read the original news report, visit: https://www.canalrural.com.br/noticias/pecuaria/boi/boi-argentina-desiste-de-proibir-exportacoes-de-carne/

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