Limitations in Argentinian beef exports
The Argentinian government resumed beef exports but under self-imposed limitation for producers and packers. Also, some items are forbidden from export such as whole carcases, half carcases, bone-in forequarters and hind quarters, rib plate, skirt, flank, flat and navel plate. Most are popular items in Argentinean barbecue.
At the same time, cuts that are allowed to export can not surpass 50% of the country's production, measured on a monthly basis. This measure will stay in place at least until August 31, when it will be re-evaluated. Argentina’s quotas for the European Union and United States are exempt from the restrictions, just as they were from the earlier 30-day suspension.
Argentina’s monthly beef exports during the June-August quarter last year averaged 52,635 tonnes. 50% of that volume means that exports this year over the same three month period may be about 26,000 tonnes/month, trade sources say.
Since the TRQ exports to Europe are not included, it is possible that total monthly exports could approach 33,000 tonnes. Argentina’s exports totalled 197,444 tonnes, up 19% from the January-April 2020 pace, before last month’s export ban was imposed. China accounted for 76% or 150,000 tonnes of those exports over the same period, up 26% from a year ago. Exports to the EU amounted to 10,677 tonnes over the same period, down 6%, while trade to the US totalled 4100 tonnes, up 19%. Argentina accounted for 22% of China’s January-April imports, second only to Brazil. For the last 12 months, the general advance of prices in Argentina was 46.3%. However, meat prices have increased by 64.7% in the same period. The government hopes that restriction applied to exporters to limit inflation.
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