Double blow for Argentine refrigerators: The government blocks export permits

Published 2023년 6월 21일

Tridge summary

The national government has delayed the formalization of bovine cuts shipping permits in order to instruct refrigeration companies that have not met the minimum price criteria under the voluntary meat agreement. This measure is part of the government's strategy to contain retail inflation by setting minimum prices for exported meat. However, the timing of this measure is unfortunate as China, a major buyer of Argentine beef, is exploring alternative suppliers and informal import channels. The measure also affects businesses exporting high-value meat specialties.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

National government officials –as they did on other occasions– once again delayed the formalization of bovine cuts shipping permits with the purpose of instructing refrigeration companies. The maneuver affects refrigerators that, according to the criteria established by the Ministry of Domestic Trade, did not comply with the promised delivery of meat at minimum prices stipulated in the voluntary meat agreement (which in fact is compulsory). The latest "meat agreement", in force until July 15, determines that exporting refrigerators, depending on the volume shipped, must provide cuts at prices below market prices so that they end up on the gondola with a price of $1,172/ kg in the case of roast, 1,557 $/kg in the case of the buttock, 1,484 $/kg for the matambre, 1,531 $/kg empty, 764 $/kg for the brisket, 1,260 $/kg for the shoulder and 1,172 $/kg for the roast cover. This strategy –financed with resources from the refrigerators themselves– is one of the pillars of the official ...

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