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Brazilian Beef Enters Argentine Shelves and Undercuts Local Cuts

Lower cattle costs in Brazil plus a tightened Argentine herd are making imports cheaper, pressuring retail prices.

Overview

  • Imports from Brazil have expanded to about 15,000 tonnes per month, roughly 7% of Argentina’s domestic beef demand, and are now visible in supermarkets and butchers.
  • Some Brazilian cuts are selling up to about 25% below equivalent Argentine products, with examples cited where imported loin is roughly ARS 23,400 per kilo versus over ARS 30,000 for domestic supply.
  • Domestic supply fell from historical levels and recent higher slaughter rates in May have begun to increase availability after months of herd retention.
  • The Instituto de Promoción de la Carne Vacuna Argentina reported that beef prices stabilized in May with a 0.1% month-on-month change while poultry and pork continued to gain price competitiveness versus beef.
  • Export volumes have declined but the average export price reached a record near $6,900 per tonne in April, keeping export revenues strong even as more Brazilian product competes at home and consumer choices shift.