In a big change, the Argentine government has decided to allow live cattle to be exported for slaughter, lifting a ban that has been in place for over 50 years. This move comes after a significant rise in beef exports, which reached their highest level in a century last year.
Argentina is famous for its high-quality beef and traditional barbecue, known as asado, and plays a major role in global agriculture by exporting large amounts of processed soybeans, corn, and wheat. The agriculture industry is vital for bringing in foreign money, which is crucial for buying imports and managing the national debt.
The agriculture secretariat shared that this policy change is aimed at creating “more competition in the meat and livestock industry.” This aligns with President Javier Milei’s plans to loosen regulations in South America’s second-largest economy and boost growth.
Earlier this month, Milei’s government also introduced a five-month tax cut on grain exports to promote international sales. Last year, they reduced the export tax on beef from 9% to 6.75%.
In the past year, Argentina’s beef exports went up by 10%, totaling over 935,000 metric tons—the highest it’s been since 1924, when exports hit 981,000 tons. These exports, which include fresh and frozen cuts as well as processed beef products, were sent to 53 countries, up from 42 the year before.
China was the top buyer, purchasing nearly 70% of Argentina’s beef exports, followed by the European Union and Israel.
This policy change is expected to strengthen Argentina’s position in the global beef market, providing more opportunities for ranchers and helping the country’s economy grow.
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