"Boom" of meat: to what extent can Argentine exports increase? | News instantly from LAVOZ.com.ar

In the first half of the year, exports of beef cuts and by-products increased by 60 percent, reaching their highest level in a decade, with China being the main vacuum cleaner for field-produced meat and industrialized in refrigerators Argentines

The Asian giant concentrates 50% of the volume that the country sends abroad and this trend will continue over the next decade, so that this "boom" of meat will continue, with the growth This is worth the coincidence, at the "Chinese" rates

This is supported by a report prepared jointly by the Rosario Stock Exchange (BCR) and the livestock market of this city (Rosgan), which estimates an increase in Argentine Argentine beef sales from 180% to 2027.

Of the 312 000 tonnes exported in 2017, it is expected to reach 870 000 tonnes in 2027; this is almost three times, at an annual rate of about 11%.

19659002] As mentioned, the main hope factor for these projections is the dynamics of China, a country that adds millions of people every year to his middle clbad, who, by increasing his income, improves his diet. mande of "red" proteins.

The same thing is happening in other countries of Southeast Asia and in Russia, another market with high potential.

The BCR document and Rosgan cited a study commissioned by the Argentinean Beef Promotion Institute (IPCVA) of Asian Agribusiness Consulting (AAC).

A relevant fact is that the average consumption of beef in China is only six kilos per capita per year (ten times less than in Argentina), but that in 2027 it should reach 8, 1 kilo ] per inhabitant .

"This is a market of over 1.300 million inhabitants who do not self-supply and will not be able to do so at least in the short and medium-term, "points out More specifically, of the 688,000 tons that China imported beef last year, there would be more than one million in less than 10 years, or 312 000 tons more, the total exported by Argentina last year

Domestic consumption

For BCR and Rosgan, this potential expansion of the foreign meat market does not lead to bottleneck strangling for the local industry and breeders.

The expectation is that meat production will increase by 29 percent, to exceed 3.6 million tons of yams, with an internal consumption that would only grow by 10% in a decade.

In conclusion, the strongest demand from abroad could be satisfied by a much higher weaker domestic consumption which, in recent years, has replaced beef with substitutes such as chicken or pork.