Herd shrinks as soy crops beefed up
Although Argentina may have a long-established reputation as a quality producer (and consumer) of beef, the country’s national herd is dwindling as a result of government-imposed restrictions on exports and rising grain prices, which are making crops a more attractive option for farmers.
Since 2005, some 10% of the country's grazing land has been turned over to grow soy, which is proving a more profitable commodity for the country’s former beef farmers, and this trend looks likely to continue as a result of lower beef prices and continued restrictions on beef exports.
Once the leading beef exporter, Argentina has now been pushed into fourth place behind Brazil, Australia and India, and is soon set to move further down the list behind Canada; and this obviously has serious implications, not only for the country’s beef industry, but also for its leather sector.
