Argentina: is heading to a historical record of beef exports in 2020

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Argentine beef exports could close 2020 with a historical record close to one million tons. Last year 844,900 tonnes of bone-in beef were sold, which was a record after 50 years.

This was estimated by the livestock consultant Víctor Tonelli after analyzing the performance of exports in the first seven months of the year and projecting the end of 2020.

Argentina is the fifth largest exporter in the world after Brazil, the United States, India and Australia. With a million tons it would maintain the same place in the top five exporter.

Exports for the first seven months of this year were 327,800 tons by product weight. In tons of beef with bone, it is more than 485,000 tons. According to Tonelli, what was already marketed contributed US $ 1,509.2 million with an average of US $ 4,604 per ton.

“These values show an increase in volume of 20.1% compared to the same period last year and only 4.6% over the total exported value, highlighting the drop in value per ton showing the effects generated by COVID 19”, said.

For the consultant, with this background “it is possible to project a historical record level of exports for this year that could be close to one million tons equivalent of beef with bone.” Tonelli foresees a foreign exchange inflow of more than US $ 3 billion.

“This estimate is supported by the volume already exported and the consideration that the remaining months have been seasonally the highest of the year, it is estimated that China will improve its conditions approaching the period of greatest annual demand and with limitations to supply itself from Australia and New Zealand, ”he explained.

Tonelli added that “Chile will begin its period of greatest demand, the European Union, with lower prices, will maintain a good rhythm of demand and, the star market, the United States, despite being close to meeting the quota of 20,000 tons per year will continue a good rhythm of demand ”.

Specifically last July, sales abroad were 53,400 tons by product weight. In value, it was exported for US $ 226.1 million. These values represent an increase of close to 8% over what was exported last month in both volume and value.

China, the main destination, took 66% of the exported volume. This is a decrease in the level of participation in previous months, which averaged 76.1%.

“In terms of values, the average value exported to China was US $ 3,542 per ton, far from values that by the end of last year exceeded it by more than 75%,” said Tonelli.

For his part, Mario Ravettino, president of the Consorcio de Exportadores de Carnes (ABC), evaluated: “Unlike what had been happening, growth was focused on the chilled meats and on a more modest rise in frozen meats, where for the second consecutive month there was a drop in shipments to China. It was offset by an improvement in other markets ”.

“The larger shipments to Chile, Israel and the United States were decisive in this important change. After many months, China evolved with a different trend than total meats. This, together with the expansion of the United States, is the most relevant data of the analyzed period ”, highlighted Ravettino.

Meanwhile, according to Tonelli, when the share of exports over the total beef offered (produced) is analyzed, these “reached 28.3%, leaving a level of consumption equivalent to 52.2 kg / inhabitant year.”

Source: La Nación, Argentina.

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