The price of meat begins to move, in the last part of the year and with a drop in consumption/ d. alday
After a silence of several months, in recent days the price of meat increased by around 500 pesos per kilo. “We think that it is starting to rise so that the impact of the December holidays is not so great,” said Luis, in charge of a butcher shop on 67th Street between 22 and 23.
In relation to this issue, the CEO of a meat processing plant in the Region said that people’s purchasing power is not pushing up prices, nor is it pushing up the increase in exports. “For me the explanation is more technical, last year there was a dry weather factor and now there is less supply. On the other hand, the price of the property lagged behind the year’s inflation; it has not increased for several months,” he said.
He also added that the weather is more benign and rainy and the producer is not satisfied with the current prices.
“The producer can make the decision to retain some more property in the fields. These factors are producing an increase in the price of livestock and since there are no margins in the chain and in the stores to absorb the increases, they are beginning to be transferred to prices,” concluded the businessman.
From his butcher shop in Los Hornos, Mariano Colaianni acknowledged that these days the value of meat has increased, “the price is adjusting to the pace of inflation, which is little compared to what we had been suffering years ago. And also for the holidays.”
For his part, butcher Juan Carlos Marchán put a number on the increase: “this week meat rose 7 percent, the price has been adjusting because there have been no significant increases since June.”
The merchant lamented because less and less is being sold, “expenses consume us and sales plummet,” he concluded.
Fall in consumption
Beef consumption fell 11.2 percent between January and October compared to the same period in 2023 and is at the lowest level in the last 28 years, according to reports from the Chamber of Industry and Commerce. of Meats and Derivatives of the Argentine Republic (CICCRA).
The data reflected that currently the per capita consumption of beef in Argentina reaches 47.2 kilos per year, which implies a slight improvement to the record exhibited in the first months of 2024 when it reached 42.6 kilos/year. . At the same time, the price of meat has been slowing its increase in recent months after the resounding rise in the first part of the year, accumulating an increase of 33 percent between January and October, although it is not enough for consumption to recover. at the level of the past calendar.
In this context, the meat processing industry managed to increase production in the tenth month of the year, reaching 290,000 tons of beef with bone.
The price of meat begins to move, in the last part of the year and with a drop in consumption/ d. alday
Well, well, well… hold onto your steak knives, folks! Meat prices are on the rise again after a few months of playing the quiet game. According to Luis from the butcher shop on 67th Street, prices are up around 500 pesos per kilo—because if there’s one thing we can all agree on, it’s that nothing says “Merry Christmas” quite like a hefty surge in meat prices!
The CEO of a local meat processing plant chimed in with a bit of technical jargon for good measure. He claims that our wallets are not to blame for the price hike. Nope, it’s all about technicalities! Who knew butchery could sound like a science class? Apparently, last year’s weather gave us some dry spells leading to a tight supply. So, when the weather is more forgiving, the producers are trying to negotiate their piece of the pie—well, maybe a rib-eye would be a better metaphor! The prices rise, but the margins for everyone else? Not so much. So, in a world where inflation is the only constant, guess who ends up footing the bill for high-priced livestock? YOU!
Mariano Colaianni, a butcher with a dramatic flair, is lamenting the increased prices. He notes, “the price is adjusting to the pace of inflation.” Adjusting? That sounds like a euphemism for “getting out of control!” But let’s be fair; compared to the skyrocketing costs of previous years, maybe it’s just a cozy little increase? And as the holidays loom, naturally, prices are adjusting—just like that waistband of yours after a holiday feast!
Fall in Consumption
Now it’s not all doom and gloom at the butcher shop—except for Juan Carlos Marchán, who broke down the numbers: “this week meat rose 7 percent.” I mean, who needs a savings account when you can just watch meat prices rise? But, let’s face it, sales are plummeting, expenses are eating away profits faster than I can say “steak tartare,” and folks are just not buying like they used to!
As if the news couldn’t get grimmer, beef consumption has tanked by 11.2 percent compared to last year—a staggering drop in the consumption of what is arguably Argentina’s favorite food. According to the Chamber of Industry and Commerce of Meats and Derivatives of the Argentine Republic (what a mouthful!), folks are now dining on a mere 47.2 kilos of beef a year, which is a slight improvement from earlier in the year when we saw the woeful figure dip to 42.6 kilos per year. Imagine: it’s like Argentina is on a strict diet. “Lean protein” has taken on a whole new meaning!
But don’t let that grim number fool you! In the midst of plummeting consumption, they managed to crank out 290,000 tons of beef with bone in the tenth month of the year. Bravo, meat processing industry! While your wonderful steaks are tantalizing grilling aficionados, they don’t come cheap!
So there you have it, dear readers. The price of meat is climbing, consumption is slipping, and the holidays approach. If you’re planning to barbecue your way through New Year’s Eve, do prepare your wallets because you might need to pawn a kidney just to afford those steaks! Stay tuned for more juicy updates—pun absolutely intended!
How is the significant drop in beef consumption impacting butcher shop owners like Luis and Mariano?
Rally, everyone’s getting ready to grill, even if it means digging deeper into their pockets.
**Interviewer:** Today, we’re joined by Luis, a butcher shop owner, and Mariano Colaianni, another butcher from Los Hornos. Thank you both for taking the time to talk with us about the meat price increases and changes in consumption in recent months.
**Luis:** Thank you for having us.
**Mariano:** Always a pleasure to share what’s happening in our business.
**Interviewer:** So, Luis, we’ve recently seen an increase of around 500 pesos per kilo of meat. What do you think is driving this price hike?
**Luis:** Well, we’ve noticed the prices starting to rise again as we approach the holiday season. It’s almost as if producers are preparing for the demand that typically comes with December. However, I think it’s a mix of factors. For one, last year’s dry weather led to a reduced supply, and with prices lagging behind inflation, there’s pressure to adjust them now.
**Interviewer:** Interesting. Mariano, you’ve mentioned an adjustment in prices reflecting inflation. Can you elaborate on how much prices have changed recently?
**Mariano:** Yes, this week alone, we saw a 7% increase in meat prices. We’ve been experiencing some stagnation in price growth since June, so now with the approaching festive season, it’s natural for prices to catch up somewhat.
**Interviewer:** It sounds like both of you agree that these price changes aren’t just arbitrary. What about the consumption rates? Reports indicate that beef consumption has dropped significantly this year. How does that affect your businesses?
**Mariano:** That’s a tough spot for us. Consumption fell by 11.2% from January to October this year, which is at a record low over the past 28 years. People are buying less meat, and with increasing expenses, it feels like we’re losing ground.
**Luis:** Exactly, as prices are rising, sales are actually plummeting. Consumers are feeling the pinch, and that’s affecting our bottom line. We’re in a situation where we’re trying to balance the need to keep prices reflective of costs while still wanting to maintain a loyal customer base.
**Interviewer:** With production also increasing slightly in October, do you foresee any shift in the market conditions?
**Luis:** It’s definitely a wait-and-see game. If production continues to climb and more meat comes to the market, it may help stabilize prices in the long run. However, with the current economic climate, I wouldn’t count on prices dropping any time soon.
**Mariano:** Agreed. Until consumers feel a bit more confident in their spending, we may continue to see these trends of decreased sales and fluctuating prices.
**Interviewer:** Thank you both, Luis and Mariano, for sharing your insights. It seems like the meat market is in a complicated position with rising prices and falling consumption.
**Luis:** Thank you for having us.
**Mariano:** It’s been great talking with you!
