The exports of the bovine complex reached 870,915 tons between January and August, marking a historical record when passing for the first time in eight months the 800,000 tons, highlighted today a report from the Rosario Stock Exchange (BCR).
“In a 2023 marked by climatic challenges and economic fluctuations, the bovine meat and leather complex in Argentina has been registering a volume export record“said the work carried out by economists Natalia Marín, Franco Ramseyer and Emilce Terré.
He highlighted that “this achievement has not only reinforced the position of this complex in the International Tradebut has also provided relief to the economy in the midst of a shortage of foreign currency.”
In this regard, he recalled that “the drought had a significant impact in agribusiness”, and noted that “one of the sectors that experienced changes was livestock, where the lack of pastures led to an increase in the number of animals sent to slaughter, an atypical phenomenon compared to previous years”.
Thus, he specified that “a detailed analysis of the slaughter reveals that, in the first eight months of 2023, more than 9.8 million heads of cattle were slaughtered, the highest figure since 2009.”
“Despite facing this and other challenges, the bovine meat and leather complex has stood out in the export outlook. In the first eight months of the year, this complex contributed nearly US$2.5 billion to the country’s foreign exchange reserves,” the BCR analysis stated.
He highlighted that “the volume of tons of meat shipped in the January-August period, 870,915, established a historical record in the records”.
Meat exports: what was the main destination
However, he stressed that “despite this achievement, the value of the exports shows a drop of 17.7% compared to the same period last year, due to a marked decrease in the resort’s average FOB prices.”
“Despite the drop in prices, more than half of the exports of this complex in value had as main destination China, more than US$1,263 million for a total of US$2,437 million in the period January-August 2023. Exports to other destinations such as Germany, Netherlands, Israel, United States, Chile and Brazil”the report stated.
He explained that “the drop in prices experienced by the bovine meat and hide complex is not exclusive to Argentina, but extends internationally,” and added that “it is attributed in part to an increase in the supply of livestock in important producing countries and the moderation of import demand, especially in the north of Asia”.
“Despite this drop, the FAO beef price index remains 5.8% above the average of the last five years. This indicates that, despite the current challenges, the sector remains competitive in the global market,” highlighted the Rosario Stock Exchange.
He pointed out that “on the external front, the bovine meat and hide complexIt is in the top five of Argentina’s export complexes, occupying fifth place and representing approximately one 5% of the total exported value of the basket of national goods.”
He stressed that “if only the complexes of the agro-industrial sector are considered, bovine meat and leather climb to third position, behind the soybean and corn complexes.”
Source: Ambito
