The major beef producing region in Argentina (the Pampa area) has received heavy rain over the past two months, causing serious disruptions to livestock transport and therefore supply, reports MLA.
This has led to a sharp increase in cattle prices, with steers (431- 460 kg) averaging 191US¢/ kg lwt in February (IPCVA), consequently increasing domestic beef prices.
The current situation has seen the Argentinean government intervene once again, limiting export permits (ROE - registro de operaciones de exportaciones) and encouraging buyers to avoid purchasing cattle from Liniers Market in Buenos Aires, the largest saleyards in Argentina.
The high cattle prices combined with the renewed government intervention have driven exports to start 2014 slowly.
Argentinean beef exports during January dropped 22 per cent year-on-year, to 8,265 tonnes swt.
Chile remains the major destination, with shipments totalling 2,712 tonnes swt. In contrast, shipments to the EU under the Hilton Quota increased 19% on the previous month, with Germany and Holland the major destinations.
