Beef sector rules out sustained price increases

Andrés Contamagna, a cattle consultant, stated that recent beef price hikes are due to seasonal factors and will not persist. He forecasts price stability in April due to falling live cattle values. Consumption is shifting toward chicken and pork amid a structurally reduced beef supply.

Beef prices have returned to the center of Argentina's economic debate, though the cattle sector downplays their inflationary impact. Andrés Contamagna told Canal E that recent increases are “simply seasonal statistics” and “what happened is now in the past.” He expects “tranquility in beef prices” in April due to lower live cattle values.

The consultant warned of a structural reduction in beef supply extending into 2027. “The scarcity restriction will not be just for 2026, but for 2027,” he said. Consumers are turning to alternatives: preferring “chicken and pork.”

Despite the shift, total protein consumption remains stable at around 117-118 kg per person. “The basket has been the same in quantities,” Contamagna clarified, though with a different composition. He dismissed non-traditional meats like donkey as lacking scale.

On pricing, “the customer sets it, but beef sets the ceiling.” Costs are not directly proportional due to grains, freight, and fuel, though falling grain prices aid pork and poultry sectors.

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Argentine and US officials shake hands sealing trade deal expanding beef exports to 100,000 tons.
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Argentina signs trade agreement with the United States

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Foreign Minister Pablo Quirno announced a trade agreement between Argentina and the United States that expands the beef export quota to 100,000 tons and removes tariff barriers in key sectors. The deal aims to strengthen bilateral economic ties and could boost exports by up to $1,013 million. The agricultural sector, particularly meat exporters, hailed the pact as a major step forward.

The Ministry of Agriculture and Rural Development identified rises in beef prices in 2026, due to a 14.59% increase in live cattle prices. The government is dialoguing with supply chain actors to implement measures protecting domestic supply and household economies.

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Wholesale beef prices in Jesús María and Cañuelas markets showed a mixed picture. Wintering cattle prices rose 14%, while those for consumption fell 3%. This indicates gains in calves and drops in slaughter-ready categories.

Colombia's National Administrative Department of Statistics (Dane) reported that annual inflation for January 2026 stood at 5.35%, up 13 basis points from January 2025. Driven by lodging services, restaurants, and food, the figure slightly exceeded market expectations. This data will guide the Central Bank's monetary policy decisions.

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Fernando Savore, vice president of the National Federation and the General Confederation of Grocers, explained on Canal E how consumption in supermarkets and stores has changed due to inflation and digitalization. He noted that large purchases have decreased, favoring small restocks in neighborhood stores. He also highlighted the rise of virtual payments and price adjustments in food.

South Korea's consumer prices rose 2 percent year-on-year in January, marking the slowest pace in five months. The slowdown was partly due to stable petroleum product prices, as international crude oil prices fell, according to government data. However, prices for some agricultural and livestock products continued to surge sharply.

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One month into disruptions from the Middle East conflict, Kenya is losing Sh250 million weekly in livestock and meat exports to Gulf markets, with total losses exceeding Sh1 billion, Finance Minister John Mbadi told parliament.

 

 

 

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