According to reports, Argentina may have to import beef for the first time because many cattle have been killed by drought and because tight export controls have caused some companies to quit the business.
According to Bloomberg, many farmers are leaving cattle to die in the fields because pastures have dried up and the cost of raising cattle is so high. There are also claims that there has been a higher than usual kill of breeding stock, which could compromise future output.
Argentina’s national herd has fallen by around 7% since 2006 and it is now believed it may have to resort to importing beef in the next few years if the numbers continue to fall.
Argentina is the largest beef-consuming nation per capita and its prices are said to be the lowest in the world at just $1.65 per kilogram. Having been the world’s largest beef exporter 30 years ago, it now takes seventh place. According to the USDA, Brazil will export four times as much beef as Argentina this year.
