Meat from Uruguay for Export
Uruguay is the world’s sixth largest exporter of beef. Uruguay expects to export meat this year for about 1,600 million dollars with a slightly higher result than last year. The total sales abroad are estimated to reach 450,000 tons by the end of 2015.
Uruguay is the sixth largest exporter of meat worldwide.
At this moment Uruguay meat exports have doubled the exports of Argentina. In volume, meat from Uruguay is ranked as the sixth largest exporter behind India, Brazil, Australia and the USA.
In the first half of 2014, the highest sales growth came from China, which brought 17% of total sales becoming the third destination of Uruguayan beef, behind NAFTA, with 20%, and the Russian Federation Russian (18%).
There is a growing concern about food safety in China, which generates an advantage for Uruguay. China is a strategic market, prices are not high, yet the volume of Uruguayan sheep meat placed in China grew 445% in a year and there is room to increase because there are niches that are not yet fully exploited.
Uruguay achieved this year a new record in exporting different types of meat, such as mutton and sheep both bringing income of about US$ 1,700 million with an average price of about US$ 4,000 for a ton of meat. During the first half of 2015, Uruguay will be entering with mutton bone to the United States.
Positive Perspectives in the EU market
The sales to the European Union (EU) have also remained strong despite the crisis in that region and continue to represent 15% of the export volume. In the short term, producers dedicated to cattle feedlot continue working. The fee is very important for Uruguay, only during 2013/14, 9,794 tons were exported to Europe for a total of US$ 88.9 million, with an average export value per ton US$ 9,084.
Advantages of Uruguayan Meat
Uruguay has increased livestock exports in place to meet some businesses and mobilize the livestock market. There is a clear added value in Uruguayan´s meat products. The production of beef and sheep is free of hormones with a transparent traceability of the cuts that provide security for consumers and fattening on natural pastures.
Uruguay´s aim for this coming year is to actually enter the demanding Japanese market, a goal which is very important from a symbolic point of view. Japan only reopened to the market after the outbreak of FMD in 2001. After a period of three years of negotiations in February, a Japanese delegation landed in Montevideo to sign the health protocol to open the market. The first shipments of beef to Japan may already be out at the end of the first half of 2015.
Some companies buying cattle will also meet up with Egypt and there is an approved sanitary agreement signed by both countries.
Meanwhile, Turkey resumed its purchases of lightweight standing calves, destined for slaughter, which were born and raised in Uruguay, having agreed to some changes in the health protocol while Turkish importers are solving the import permits and the market will also be opened and operational as from 2015 on.
There are also active initiatives from Jordan and Tunisia, although with very low volume business.
Meanwhile, the attention of exporters is also focused on the opening of Georgia, a key country as it has coasts on the Black Sea and is on the boundary between Europe and Asia, and also shares a border with Russia, Turkey and Armenia.
The Highest Consumer of Meat
The “King of meat” is no longer Argentina but Uruguay.
Uruguay remains to have the highest consumption of beef along with Argentina, around 60 kilos (with bone) per capita per year.
The consumption of beef in Argentina dropped so low that it fell from its perch as the leading per capita consumer of beef in the world and ranchers are fighting to regain its position against the tiny neighbor Uruguay.
The Argentines consumed about 56.7 kilograms of beef per person last year while in Uruguay the intake in 2014 stood at 98 kilos per capita (far exceeding the USA, reaching only 25.3 kilos).
The reasons vary for these low levels in the Buenos Aires capital. The meat prices have risen with inflation and farmers argue that government prices have dropped.