MercoPress. South Atlantic News Agency

Argentine meat sales to China to resume next week; the rest of the world will have to wait until 2022

Argentina will gradually resume meat exports

Argentina will resume meat exports to China as of this coming Monday, it was announced Tuesday in Buenos Aires.

The decision by the Argentine government following negotiations with producers to lift all restrictions on sales of meat to foreign customers aims at recovering some of the political support lost at Sept. 12's Mandatory, Open and Simultaneous Primary (PASO) elections.

The measure will allow sales to China to resume immediately, something that had already happened with shipments to the European Union to comply with the Hilton Quota and kosher meat for the Israeli market.

“In this way, we solve a problem raised by the governors and entities and also the situation of the slaughterhouses that had not been able to participate” in the negotiations, Agriculture and Livestock Minister Julián Domínguez explained.

Meanwhile, Cabinet Chief Juan Manzur said the last “meeting [with exporters] was extremely fruitful” and that the issue had been solved “through dialogue.”

Carlos Achetoni, of the Argentine Agrarian Federation, highlighted that ”it is a beginning and it is important that it begins this way.“

After these first exports to China, technical teams “will set up meetings every 60 days to follow up on the issues,” Domínguez pointed out the official who also announced loans will become available to producers to finance their businesses.

The negotiating meeting was attended by Manzur, Domínguez, Governors Axel Kicillof (Buenos Aires), Omar Perotti (Santa Fe), Gustavo Bordet (Entre Ríos), Sergio Ziliotto (La Pampa) and Gerardo Zamora (Santiago del Estero).

They exchanged views with businessmen Nicolás Pino (Sociedad Rural Argentina), Carlos Achetoni (Federación Agraria Argentina), Elbio Laucirica (Coninagro) and Jorge Chemes (Confederaciones Rurales Argentinas).

After the encounter, it was also agreed that all restrictions on meat exports will be lifted by 2022, following an agreement to gradually release meat exports, although with an “immediate” start (China).

“The goal will be that in the immediate future - projected for 2022 - the country can have a greater amount of beef available,” Agriculture Ministry sources told the media.

Since Domínguez took office a week ago, technical contacts have been rushed between ministry officials and meat producers, although many conflicting positions remain.

“There will be clear rules for the export game,” the sources quoted by Tiempo Argentino added.

Still controversial are meat sales to China, which today comprise between 60% and 70% of local meat exports. These differneces are to be worked out during the remainder of 2021 and sales abroad increase gradually, it was explained.

Preliminary studies have shown the new move will not bring along an increase in domestic prices, although some producers were skeptical about this forecast.