ARGENTINA Bovine Indicators / Beef Production

GASTON FUNES Minister Counselor Agricultural AffairsEmbassy of Argentina to the EU

Annual Bovine Indicators

Average 2007-2011 2013 2014 (e)

Slaughter (Number of bovines) 13.682.714 12.625.513 12.654.160

-Monthly average 1.140.226 1.052.126 1.054.513-Slaughter of females 45% 43% 45%Beef Production (Boned Carcass M/Tons) 2.971.050 2.822.368 2.758.607

Carcass’ Average weight 218 224 218

Consumption: kg. per capita 63 64 63Beef Exports

-Volume (Boned Carcass M/Tons)

438.103 205.380 153.376

-Monthly average 36.509 16.331 12.781

-Value (US$ x 1000) 1.433.508 947.789 842.543

-Price (US$/Ton) 3.272 5.017 5.493

Export / Production 15% 7% 6%

Steer annual price (live animal kg US$) 1,26 1,76 1,69

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Cattle Population

e= estimated data Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Average

Water Balance – Period 2007-2014

201320122011

201020082007 2009

2014

Regions of Argentina - Cattle Stock Distribution

Pampas

NOA Region

NEA Region

Patagonian Region

Region of Cuyo

53.4%

26.8%9.1%

8.5%

2.6%

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Cattle Population

e= estimated data

51.365.000 Heads 220.000 Farmers 493 Bovine Cattle Slaughterhouses and processing plants 92 Open markets for fresh meats exports

97 export plants62 licensed to export to the EU, supplied with outstanding technology

Bovine Cattle

Farmers composition

Fuente: Elaboración propia en base datos MAGyP.e= estimated data

0%5%

10%15%20%25%30%35%40%

Hasta 20 Cab.

de 21 a 100 Cab.

de 101 a 250 Cab.

de 251 a 500 Cab.

de 501 a 750 Cab.

de 751 a 1000

Cab.

de 1001 a 2000

Cab.

de 2001 a 4000

Cab.

más de 4001 Cab.

N° Productores Total Bovinos

75 % of cattle population

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Evolution of the Herd

e= estimated data

2% 2%

0,33%

2%

1%

-2%

-6%

-10%

-2%

4%3%

0%

-12%

-10%

-8%

-6%

-4%

-2%

0%

2%

4%

6%

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013e 2014e

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Net production [slaughter + difference of Stock]

e= estimated data

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013 e

2014

10,000,000

11,000,000

12,000,000

13,000,000

14,000,000

15,000,000

16,000,000

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Evolution of bovine slaughter

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014e9,000,000

10,000,000

11,000,000

12,000,000

13,000,000

14,000,000

15,000,000

16,000,000

17,000,000

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Carcass weight evolution in slaughter [Kg]

200205210215220225230235

*

Minimum slaughter weight: 165 Kg (boned carcass) was established

Since 2010 Resolution MAGyP 88/2010 is in force. It establishes a minimum slaughter weight of 165 Kg (boned carcass), equivalent to 300 kg (live animals).

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Cattle Productive cicles

BREEDING (1 year & 6 months) FATENING

COMPLETE CICLE ( 2 years & 8 months)

Grass Production

Extensively reared livestock (Animal Welfare), with a combination of soil and climate that allows it to develop a uniform muscle, tenderness and texture unique in the world.

Pastures of the Argentine plains, resulting 100% natural meat, free of additives and hormones, low-cholesterol, saturated and intramuscular fat.

Feed lot beef production

Intensive production, supplemented with cereal grains and corn silage of high quality.

Enables rapid weight gain and releasing of land for other activities.

Corn silage can accumulate a large amount of dry matter of good quality, optimizing load and weight gain in grazing and generating a high yield of meat per ha when it goes to feeding animals (feed lot).

2008 2009 2010 2011 2012 2013.000%10.000%20.000%30.000%40.000%50.000%

Slaughtering from feedlot

Young male Young female Total

Feed Lot Beef Production (Mar 2014)Establishments 1.475Cattle population 1,17 MillionSlaughtered bovines (2013) 3.046.580Participation in total slaughter (2013) 23,6%

Feed Lot Cattle slaughtered in 2013

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Enero

Febrer

o Marz

o Ab

ril May

o Jun

io Julio

Agost

o

Septie

mbre

Octubre

Noviem

bre

Diciembre

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000Slaughter

Feed Lot 2013

Months Total

Enero 243.031

Febrero 213.827

Marzo 225.547

Abril 235.262

Mayo 241.783

Junio 251.012

Julio 276.984

Agosto 268.829

Septiembre 257.782

Octubre 287.779

Noviembre 258.003

Diciembre 286.741

Total 2013 3.046.580

Steer prices evolution at Liniers Market(Mercado de Hacienda de Liniers)

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013201

4p0.0002.0004.0006.0008.000

10.00012.00014.00016.000

0.00.20.40.60.81.01.21.41.61.82.02.2

$/kg US$/kg

$/kg US$/kg

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Meat per capita consumptionComparison of beef, pork and poultry [kg]

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Main markets - chilled and frozen cuts

Beef cuts available to meet diverse preferences

Beef exports (2013)

Tons 1000 US$ US$ / Ton

Chilled + frozen beef 123.205 933.075 7.573Processed meat 4.469 14.714 3.292

Total 127.674 947.789 7.424

Total Beef (boned carcass) 195.980 947.789 4.836Offals / giblets 107.699 226.168 2.100

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

Beef exports to the EU (2011 - 2013)

Source: Under-Secretariat of Livestock. Ministry of Agriculture,

Livestock and Fisheries Argentina. (March 2014)

  2011 2012 2013

Tons MM€ €/ Ton Tons MM€ €/ Ton Tons MM€ €/ Ton

Chilled beef 37.916 407.2 10.740 31.846 375.9 11.803 32.241 358.3 11.112

Frozen beef 3.205 21.5 6.703 2.261 14.2 6.303

Offals / giblets 8 15.0 2.007

 Total 37.916 407.2 10.740 35.058

397.4 11.334 34.502 372.5 10.797

Beef export to the EU by country

Destino 2010 2011 2012 2013Ton Miles Dls Ton Miles Dls Ton Miles Dls Ton Miles Dls

Alemania 26355 313360 25320 351839 20214 279015 18236 238979Holanda 14247 133578 11912 147326 8333 106264 7887 101765Italia 10375 100158 8103 91934 5451 64804 5021 53240Bélgica 496 5241 519 5565 486 4515 801 9069España 1637 14091 1148 11321 624 7037 403 4285Gran Bretaña 2828 8982 1712 7784 1503 4866 441 1686Francia 819 4900 660 5606 267 2051 164 1270Lituania 159 475 214 791 107 369 250 867Rep. Checa 57 821 121 1573 45 545Luxemburgo 45 646 56 706 62 878 28 440Dinamarca 13 77 11 154 11 159 23 316Portugal 225 2287 29 332 25 102 21 229Malta 82 521 35 142 42 106 8 110Croacia 286 1117 27 84Finlandia 24 72 24 120 16 85 8 42Chipre 25 233 Grecia 26 217 Suecia 45 594 30 356 11 162 Total 57662 586315 49855 625028 37272 471985 33363 412924

Source: SENASA

Federal and Participative Agri-food and Agribusiness Strategic Plan, 2010/2020 (PEA)

All Actors:National, Provincial and Local Governments,Specific Organisms (SENASA, INTA, INASE, INV),Technical and Research Institutions;Universities and Agrotechnical Schools,Food, Agribusiness and Economic sector,Farmers,Rural workers,Cooperatives,Consumers,

« All agrifood sectors and added value chains included »

Federal and Participative Agri-food and Agribusiness Strategic Plan, 2010/2020 (PEA)

OBJECTIVES: Increase Production and Value added on

agricultural exports. Favor innovation and transfer / adoption of new

technologies.Stimulate new organization units:

clusters, cooperatives. Improve infrastructure (transport,

telecommunications, energetic resources). Source:

http://64.76.123.202/site/areas/PEA2_English_Version/07-Argentina%20Agribusiness%20Leader/index.php

Federal and Participative Agri-food and Agribusiness Strategic Plan, 2010/2020 (PEA)

BEEF SECTOR BASE LINE (2010) OBJETIVE (2020) % INCREASE

Cattle Population 49 Millions 54 Millions 10%

Bovine Slaughter 11,9 Millions 15 Millions 26%

Beef Production 2.6 M Tns 3.8 M Tns 46%

Increase the stock from 49 M to 54 M. It is worth mentioning that, although this increase does not match the stock amount –for bovine cattle– attained in the past (approx 60 M), it is expected that the efficiency in management will expand the output without affecting the development of other types of outputs or social and environmental aspects.

• Gradual increase of the minimum weight for slaughtering.• To increase stock by discouraging slaughtering of calves and heifers.• To increase productivity and herd efficiency / weaning rate (reproduction, genetics,

nutrition, health)• Adaptation to new livestock map and production systems

Thank you for your attention

GASTON FUNES Minister Counselor Agricultural Affairs

Embassy of Argentina to the EUfunes@agricola-ue.org225 Avenue Louise - 1050 Bruxelles – Belgium

+ 32 2 640 33 33 - +32 2 640 00 08

Dirección Nacional de Relaciones Agroalimentarias InternacionalesSubsecretaría de Coordinación Política

Secretaría de Coordinación Político-Institucional y Emergencia Agropecuaria