Exports: Firm Demand in Rising Market
Argentine Beef Exports Dip Despite Strong Global Demand
argentina’s beef exports experienced a downturn in early 2025,despite robust international demand and rising prices,according to recent data.
February Exports Decline
Figures from INDEC indicate that February saw exports of 50,100 tons (product weight) of beef. While this represents an increase from the 46,700 tons shipped the previous month, it is indeed a 27.5% decrease compared to february 2024.
First Two Months Show Overall Drop
The decline continued into the first two months of the year, with total shipments reaching 96,805 tons. This is 26.1% lower than the same period in 2024. A slight increase in prices partially offset the volume decrease, with export revenue totaling $474.5 million, a 3.8% year-over-year decline.
contrasting Performance of Major Exporters
The Argentine performance contrasts sharply with that of other major beef exporters.
- Brazil: The world’s leading exporter, saw it’s foreign sales rise by 3% to 370,900 tons in January and February 2025. Average prices also improved by 10.2% year-on-year.
- Australia: The second-largest exporter, increased beef exports by 17.2% to 198,500 tons during the same period, surpassing peak levels seen during periods of high stock liquidation in 2014/15 and 2019/20.
- Uruguay and Paraguay: Both countries also recorded higher export volumes compared to 2024. Uruguay’s shipments reached 65,800 tons (product weight), a 4.5% increase, with a 20.6% improvement in reported values.Paraguay exported 62,600 tons of beef, a 21.6% increase and a record for the country.
Global Demand Remains Firm
the performance of other exporters underscores the strength of international demand. A reduced global meat supply,notably from Brazil,the United States,and China,is contributing to upward pressure on prices. Combined, these countries are restricting production by more than 600,000 tons of meat.
The United states, traditionally a major beef supplier, is expected to remain a net importer for the third consecutive year due to supply constraints.
FAO Meat Price Index Reflects Increase
The Food and Agriculture Organization (FAO) meat price index reflects this trend. In February 2025, the index reached 131.9 points, a 10.7% increase compared to the 119.1 points recorded in February 2024, and only 2% below the peak recorded in February 2022.
Attractive Market Conditions
The international market presents favorable conditions for beef exports.Demand from the United States and Europe is driving price increases. European prices for Hilton beef are approaching $17,000 per ton. Israel also demonstrates strong demand in both volume and price.
Even China, which pressured import values last year, has begun to show improvement in prices paid. Customs data indicates that 470,000 tons were imported in the first two months of the year at an average value of nearly $5,200 per ton, a 9% increase year-on-year.
The Association of Argentine Exporting Producers (APAA) reports reference values for key cuts exported to China between $4,000 and $5,000 per ton, 15% to 20% higher than a year ago.
Argentina’s Challenge
Despite fluctuations in export volumes, the outlook for Argentine beef exports remains positive. Sustained global demand and rising international prices create opportunities. The challenge for Argentina is to enhance its competitiveness and capitalize on the favorable market conditions. The evolution of key export destinations and the sector’s responsiveness will be crucial in the coming months.
Argentine Beef exports: Navigating a Market of Contrasts
Q: What’s the overall trend in Argentine beef exports in early 2025?
According to recent data, Argentina’s beef exports experienced a downturn in early 2025. This occurred despite strong global demand and rising international prices.
Q: How did February 2025 exports compare to the previous year?
INDEC figures reveal that February 2025 saw Argentina export 50,100 tons (product weight) of beef. This represents an increase from the 46,700 tons shipped in January. Though, it signifies a 27.5% decrease compared to February 2024.
Q: What about the first two months of the year?
The decline continued into the first two months of 2025. Total shipments reached 96,805 tons, which is 26.1% lower than the same period in 2024. While prices saw a slight increase, this only partially offset the volume decrease. Export revenue totaled $474.5 million,representing a 3.8% year-over-year decline.
Q: How does Argentina’s export performance stack up against other major beef exporters?
Argentina’s performance sharply contrasts with other leading beef exporters, as shown in the following table:
| Exporter | January-February 2025 Export Change |
| ——— | ———————————— |
| Brazil | +3% (to 370,900 tons) |
| Australia | +17.2% (to 198,500 tons) |
| Uruguay | +4.5% (to 65,800 tons) |
| Paraguay | +21.6% (to 62,600 tons) |
Q: What is driving the strong global demand for beef?
The performance of other exporters underscores the strength of international demand. A reduced global meat supply,especially from Brazil,the United States,and China,is contributing to upward pressure on prices. Thes countries combined are restricting production by more than 600,000 tons of meat. Additionally,the United States,traditionally a major beef supplier,is expected to remain a net importer for the third consecutive year due to supply constraints.
Q: How are global beef prices trending?
The Food and Agriculture Organization (FAO) meat price index reflects this trend.In February 2025,the index reached 131.9 points, a 10.7% increase compared to the 119.1 points recorded in February 2024. It’s only 2% below the peak recorded in february 2022.
Q: Are there other factors at play in the international market?
Absolutely. The international market presents favorable conditions for beef exports. Demand from the United States and Europe is driving price increases. European prices for Hilton beef are approaching $17,000 per ton. Israel also demonstrates strong demand in both volume and price.
Even China, which pressured import values last year, has begun to show enhancement in prices paid. Customs data indicates that 470,000 tons were imported in the first two months of the year at an average value of nearly $5,200 per ton, a 9% increase year-on-year. the Association of Argentine Exporting Producers (APAA) reports reference values for key cuts exported to China between $4,000 and $5,000 per ton, which is 15% to 20% higher than a year ago.
Q: What is the outlook for Argentine beef exports?
Despite fluctuations in export volumes, the outlook for Argentine beef exports remains positive. Sustained global demand and rising international prices create opportunities. The challenge for Argentina is to enhance its competitiveness and capitalize on the favorable market conditions. The evolution of key export destinations and the sector’s responsiveness will be crucial in the coming months.