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The Government will maintain the obstacles to meat exports during the next year

Julián Domínguez, Minister of Agriculture.
Julián Domínguez, Minister of Agriculture.

In the last hours, as reported by this medium, the Minister of Agriculture, Julián Domínguez, approached the members of the Liaison Table with a working document with a series of proposals, in which it is ratified that in 2022 the restrictions on the export of beef. The official will receive the representatives of the agricultural producers at the headquarters of the ministry on Thursday, December 9 at 5:00 p.m. Prior to this meeting, on Tuesday next week there will be a dialogue table with technicians from both parties.

All this happens in the midst of the tension between the Government of Alberto Fernández and the agricultural sector, following the statements of the Secretary of Internal Trade, Roberto Feletti, who spoke of the possibility of increasing withholdings and decoupling international prices from local ones, to contain increases in the price of meat to the consumer.

The convocation of the minister for Thursday 9 of this month, is related to the request for a hearing that the presidents of the four entities of the field had presented weeks ago after the legislative elections of November 14, with the aim of advancing in the treatment of the topics on the sector’s agenda, including the demand for the total liberation of beef exports.

Last week, the president of the Argentine Rural Confederations, Jorge Chemes, he demanded that Minister Julián Domínguez fulfill the promise he had made to fully liberate meat exports from next year. The official, however, said that the new meat marketing scheme to the world for 2022 is under study, and it would be announced in the coming days.

However, a working document that Minister Julián Domínguez sent to the agricultural leaders reflects that Meat exports will remain almost unchanged next year, with a managed system made up of different quotas and a ban on the export of seven popular cuts. If this continues, market analysts are already projecting a new year of falling shipments abroad, at a time of an economy so in need of export dollars.

The leaders of the Liaison Table.  (Gustavo Gavotti)
The leaders of the Liaison Table. (Gustavo Gavotti)

The document that Julián Domínguez approached the Liaison Table, which was accessed by Infobae, promotes measures with the aim of generating predictability for the entire livestock and meat chain to achieve an increase in production and productivity, guaranteeing internal consumption and exports. In this regard, the agricultural portfolio proposes “Guarantee the exports of Hilton quota, 481, the US, Israel, Colombia and Chile, as well as guarantee the export of 1 million cows and bulls category D and E”.

This proposal would not be endorsed by the Liaison Board, which has long been requesting the total reopening of meat exports. This Friday there will be a meeting of technicians from the entities, where the strategy to be implemented for the meeting with Julián Domínguez will be defined. According to sources close to the leaders of the field commented to this medium, It will be insisted before the official with the proposal of eliminating the restrictions on the commercialization of meat to the world, with the exception of the 7 cuts with the highest consumption in the domestic market, including matambre, roast lid and vacuum.

In addition, the agricultural portfolio proposes the creation of an Advisory Council, which will be chaired by Julián Domínguez, and with the participation of the sectors of the cattle and meat chain. In addition, it will seek to generate, through the Banco Nación and the Banco de la Provincia de Buenos Aires, credit lines for the promotion of livestock with rates subsidized by the Ministry.

Finally, the Ministry of Agriculture in the working document reaffirmed its commitment to support the draft Law Regime for the Promotion of Federal, Inclusive, Sustainable and Exporter Agroindustrial Development, which promotes tax benefits for the increase of kilos of slaughter and also to the rearing. Said initiative promoted by the Argentine Agroindustrial Council is already in the Chamber of Deputies for analysis.

At this time, the differences between the Government and the Liaison Board regarding the scheme to be implemented next year for the export of beef are clear, and the fear that exists in the field that the position of Roberto Feletti will prosper too much. intervention and increased tax pressure, which contrasts with Julián Domínguez’s position of seeking dialogue and consensus with the agricultural leadership.

In this sense, the president of the CRA, Jorge Chemes, highlighted that since the assumption of Julián Domínguez to the agricultural portfolio “there is a new stage with greater and oiled communication, there are consultations and that is an improvement. But the facts are lacking, because the leaders and the producers need them. And if the producers do not see the facts, they will begin to distrust us ”.

Intervention

It should be remembered that the Government of Alberto Fernández since last May has been intervening in the chain of cattle and meats, limiting exports, to stop the rise in consumer prices, whose restrictions will be in effect until December 31. In all this time, a general quota system was combined, with additional quotas to be able to send kosher meat abroad to Israel, and canned or manufactured beef, with China as the main destination. In addition, there were no restrictions on exports of tariff quotas with the European Union and the United States.

Evolution of beef exports from our country.  (Source: IPCVA)
Evolution of beef exports from our country. (Source: IPCVA)

As a consequence of these measures, according to data from the Argentine Beef Promotion Institute (IPCVA) In the first 10 months of the year, beef exports totaled 479,890 tons by product weight, which meant a 4.3% retraction compared to the same period of the previous year, that is, about 21,400 tons less. Of this diminished volume, about 14,100 tons correspond to lower shipments to China and another 11,600 tons correspond to Russia, while the rest of the destinations together accumulate an expansion equivalent to about 4,300 tons.

The projections for this year, before the beginning of the restrictions, presented a favorable scenario for Argentina, with the possibility of having exported 1,000,000 tons of meat. By official measures, some 800,000 tons would be sold to the world, where the best international prices were transformed into a kind of compensation for the local export business.

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HELEN HERNANDEZ

Helen Hernandez is our best writer. Helen writes about social news and celebrity gossip. She loves watching movies since childhood. Email: Helen@oicanadian.com Phone : +1 281-333-2229

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