The Argentine Beef Exporters Association (ABC) in Buenos Aires reported that Argentina’s beef exports are up year-on-year, but demand from China is down 20% from July, with prices clearly trending downwards.
In the first eight months of 2022, beef shipments increased by 9.4% compared to the same period in 2021, and about 20% in August compared to the same month last year and in July a 5% reduction in comparison.
Meanwhile, shipments to China, the main destination for Argentine beef, were down 20% from July. The Argentine government has allowed exports to grow by 15%, which could have a positive impact later this month.
“Compared to August 2021, export volumes have increased by 19.9%, while the value obtained is 32.3% higher. Cumulative figures for the first eight months of 2022 show that overseas sales of chilled and frozen beef accounted for 417.3 thousand tons of product weight. Worth about $2.45 billion. Compared to the first eight months of 2021, export volumes had increased by 9.4% and 43.7% higher in price,” said Mario Labettino, CEO at ABC.
Chilled and frozen beef shipments in August amounted to approximately 56.7 thousand tonnes by product weight, valued at approximately $329.2 million. Compared to July, shipments increased by 5.0%, but the value decreased by 4.7%.
The average export price of chilled and frozen beef was 0.3% higher than in July and 10.4% higher than the average for the same period in 2021. “However, since May, the downward trend in prices has continued for key destinations, with an average of $5,807 per tonne, $500 below the April high,” ABC noted.
ABC’s report also noted that frozen boneless beef shipments to China had “dropped sharply by 20%.” “With prices at this destination clearly trending downwards, shipments in July fell from 41,000 tonnes to 32.8,000 tonnes in August.”
China remained the top export destination in both August and the first eight months of the year. “Last month, 8.7 thousand tons of filleted bone-in and bone-in beef were shipped to China worth $15.1 million and about 32.8 thousand tons of boneless beef were worth $181.4 million.”
For example, exports of beef offal and preparations in August amounted to 8.8 million tonnes worth $20.4 million. Average export prices for these products are just over US$2,300 per ton, with beef tongue ‘peaking’ at nearly US$4,500.
ABC also highlighted a recovery in chilled boneless meat shipments to Chile. “The 2,500 tonnes shipped in August roughly matched June and July combined.”
“The main observation was the impact of shipments in the fourth quarter window of 481 quotas, doubling the volume shipped to the Netherlands in August compared to July,” ABC also said. I got
“A significant amount of frozen kosher was shipped to Israel, exceeding 3,350 tonnes in August (he had 2,288 tonnes in July), with an average price he exceeded US$8,000 per tonne. Among chilled and frozen products, Israel has emerged as the second most important export destination for Argentine beef, shipping more than 4,600 tonnes in August 2022. ”
Consorcio de Exportadores de Carnes Argentinas is a non-profit organization he founded at the end of 2002 in response to the needs of the beef industry, with the aim of promoting the prosperity of the agro-beef complex by giving Argentina maximum value and Beef, therefore, contributes to the economic and productive development of the country.
The consortium also maintains the comparative advantage of her herd of over 50 million animals raised in natural conditions, protecting the environment and animal welfare, and meeting the strictest standards for providing Argentinian beef to the global market.
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Source: Mercopress
