Argentinian Beef Exports Feel Domestic Heat
ARGENTINA - Low supplies, record domestic prices and ongoing government imposed export restrictions have resulted in a 19 per cent year-on-year fall in beef shipments during the first nine months of 2011, reports Meat and Livestock Australia (MLA).
26 October 2011
1 minute read
MLA reports that soaring domestic prices which increased 39 per cent year-on-year during January-September (in local currency terms) have encouraged packers to sell product in Argentina.
Conversely, export prices rose 36 per cent to US$8,278/tonne, with an average 15 per cent rise in EU 'Hilton' high quality beef product to US$14,633/tonne.
These price increases were driven by a 24 per cent rise in live cattle prices during the period to US205¢/kg lwt - an impressive 157 per cent jump from the US80¢/kg lwt in 2006.
During January to September 2011, slaughter fell 12 per cent year-on-year to eight million head (from 12 million head during the same period in 2009).
However, as slaughter weights increased, production eased by only seven per cent year-on-year to 1.86 million tonnes cwt. During the same period, domestic supplies fell five per cent to 1.7 million tonnes, reducing annual consumption to 54kg/head from almost 70kg in 2009.
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