The national government will announce this week the implementation of a plan so that those who pay for their beef consumption with a debit card can receive up to 1,000 pesos in return per transaction. In addition, the plan contemplates that butcher shops that adhere to the program also have its benefits.
The measure has a clear objective, which is to sustain meat consumption, which has fallen to unimaginable lows for local palates. It even maintains the lowest consumption in the last 100 years, as shown by a study carried out some time ago by the Rosario Stock Exchange, which revealed that it is sustained at 47.8 kilograms per person per year, which is the lowest figure since the year 1920. That does not mean that the Argentinean eats less meat, because together with pork and chicken it sustains close to 120 kilos per inhabitant/year. What there is no doubt is that this conformation changed, and the meat that previously held a preferential place, shrank strongly.
Beef: for exporters, the price “is very late” but consumption is on the floor
The measure seeks sustain consumption of meat, in order toand counter the increases that have been recorded since the beginning of the year.
By a seasonal issue and prolonged drought, meat did not increase in the last months of the previous year, and even in the accumulated annual figure it was very far from the inflation data, registering less than 45% increase. But this year it began to recover its price, and it seems that this situation is not expected to change in the medium term.
The meat will continue to rise according to the slaughterers
The president of the Chamber of Suppliers and Slaughterers, Leonardo Raphael, J.He justified the increase in meat prices because “it was very cheap in 2022” and anticipated that they will continue to rise.
“Meat was very cheap during 2022: there was a delay of up to 70%. In the last few weeks there have been increases of 30% and there is still between 15 and 20% more increases in prices,” said the leader.
Inflation in January, very hot and February does not loosen
The price rise was felt in the Treasury Market: by case, the average price of a live steer went from $309 a kilo at the beginning of January to $418 in the last week of the month.
According to data from the Institute for the Promotion of Argentine Beef (IPCVA) during 2022 the average price of meat to the consumer grew 42.2%, well below the general level of inflation, which climbed to 94.8% for the entire year.
“The farm market is supply and demand. There was more supply than the demand needed. In addition, the drought brought forward the work, which in December was close to 53 kilos per capita of consumption,” said Rafael, in radio statements .
Meat price on the rise: what is the Government going to do?
The manager insisted that meat “was a cheap product compared to any other in the food basket. For this reason, in recent weeks there have been increases in the treasury that have been transferred to the counters.”
LR
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