Homepage  Homepage     Search on site  Search on site     To write the letter  To write the letter     Site map  Site map
Agro Perspectiva
We are on: 
   
 


Home > News > News

Argentina forecasts 2021 chicken meat production up 2% at 2.23 MMT

30.09.2020 17:45 "Agro Perspectiva" (Kyiv) Following are selected highlights from a report issued by a U.S.Department of Agriculture attache in The Buenos Aires (Argentina), Post forecasts 2021 chicken meat production up 2% at 2.23 million metric tons (MMT). Poultry producers anticipate only slightly higher domestic and export demand. Difficult macroeconomic conditions in Argentina and tight financing conditions for facility renovation and improvement further restrict expected productivity growth. No major investments in increased capacity are planned as industry and government contacts report that the industry could produce up to 10% more chicken meat on the current production base if needed.

Replenished feed stocks from a robust corn and soybean harvest in 2020 and increased export taxes on oilseeds imposed in the past year provide competitive benefits for Argentine poultry producers. Corn, wheat, and barley currently face export taxes of 12%, with the potential to rise to 15%. Soybeans are taxed at 33%. Even before other costs, like transportation and storage, Argentine farmers receive a price that is 12%-33% percent lower than their competitors for any

grain and oilseed bound for export. In this distorted market, poultry producers can still pay a discounted price if it is marginally better than the price offered by exporters and thus lower their feed costs substantially relative to producers in countries without such distortions. Nevertheless poultry exports face a 9% export tax, and poultry industry contacts report that high labor and utility costs (principally electricity), as well as value-added taxes, continue to constrain

profitability. These factors have undercut Argentine producers competitiveness relative to regional competitors and moderated export growth despite currency movements that should have bolstered exports.

Broilers are produced by a sector dominated by domestic, privately-held enterprises. More than 80 percent of the countrys chicken meat production is processed in 54 federallyinspected plants. The remaining volume is produced at 39 additional plants that are monitored and restricted by provincial authorities for domestic sale only, with a small amount of on-farm and backyard production. Commercial broilers are slaughtered at 49–51 days at a carcass weight between 2.2 — 2.4 kilograms (kg).

2020

2020 production forecast is revised down to 2.195 MMT, representing a 0.87% percent increase from 2018. Industry sources report that they are ready to increase production, but since the domestic market demand is already being met, additional production without a commiserate increase in exports could lower prices. Due to COVID-19, large poultry companies have altered their operations so that plants can operate with 20 percent fewer personnel on the plant floor at any one time, while still maintaining production.

2019

2019 production is revised up to 2.176 million tons based on updated government and industry estimates.

Consumption:

Post forecasts 2021 domestic consumption of chicken meat up by 2 percent to 2.059 MMT, increasing per capita consumption to 45.8 kg. The OECD predicts that

Argentina will emerge from three years of recession in 2021 with a 3.5% growth in

GDP. In addition to a rising population, a growing economy will spur increased

demand for all food products, and chicken continues to grow in popularity, partially

because of perceived health benefits.

Despite the difficult economic situation, there has been less protein switching than

might otherwise be expected. Consumers have continued to consume large quantities of beef, albeit with some opting for cheaper cuts. Posts annual estimated per capita protein intake in Argentina currently is 52.3 kg of beef, 45.8 kg of poultry, 14.5 kg of pork, 7 kg of aquatic products and 1.5 kg of lamb.

2020 poultry meat consumption forecast is revised down slightly to 2.04 MMT, up

0.94% from 2019. Poultry demand surged in the last week of March and during April as Argentina imposed strict lockdowns in an effort to contain the spread of COVID19. That demand subsided as consumers stocked freezers and adjusted to changing patterns of food consumption and were reassured by the continued availability of food under quarantine conditions.

Whole broilers represent 70 percent of domestic chicken meat consumption.

Industry contacts report that further processed value-added products, such as pre-cooked meals, frozen chicken meals, chicken nuggets and chicken burgers, represent market sector growth opportunities.

Agro Perspectiva

< CNH Industrial announces subsidiary notes offering All news for
30.09.2020
FAO's Committee on Agriculture focuses on how livestock sector transformation can contribute to achieving the SDGs >

01.02.2023  
00:30 Asia-Pacific. In 2021, 396 million people in the region were undernourished - a new report by four UN agencies
30.01.2023  
10:05 Global chicken meat production for 2023 is virtually unchanged from the October forecast at 102.9 MMT
27.01.2023  
17:49 South Africa exports of tangerines/mandarins are forecast to grow by almost 8 percent in 2022/23
15.01.2023  
08:36 Israels planted citrus area in MY 2022/23 is forecast to be 16,200 ha
08:03 Record South American Soybean Supplies Forecast Despite Falling Argentina Crop
07:35 China Total Meat Imports Forecast Higher in 2023
13.01.2023  
06:26 U.S. Sorghum Exports Fall Precipitously
07.01.2023  
19:25 World food prices dip in December. FAO Food Price Index ends 2022 lower than a year earlier
04.01.2023  
16:50 A $15.5 million EU-funded project aims to respond to disruptions to the agricultural sector caused by war
22.12.2022  
15:15 Somalia: FAO calls for fully funded, at-scale and sustained life-saving and livelihoods support to pull people from the brink of famine
12.12.2022  
23:32 Burma importing soybean meal to grow aquaculture industry
10.12.2022  
09:37 Argentina wheat exports fall while Australia soars
09.12.2022  
20:32 Record India Soybean Meal Premiums Disrupt Trade Flows
04.12.2022  
17:09 Global cereal production and trade forecast to fall to three-year lows
17:06 45 countries need external assistance for food
16:37 Global food prices overall hold steady in November
01.12.2022  
04:16 Cargill announces acquisition of Owensboro Grain Company
03:14 FAO and Pacific nations weigh local innovations as solutions to growing climate and nutrition challenges
02:37 Global Environment Facility tasks FAO and IFAD to lead new $230 million agrifood systems transformation program
02:15 Cargill Appoints Brian Sikes as President and Chief Executive Officer, and Dave MacLennan as Executive Chair of the Board
23.11.2022  
05:44 Australia sugar production for 2022/23 is estimated to rise slightly to 4.4 MMT
21.11.2022  
07:54 U.S. provides up to $20 mln for Grain from Ukraine initiative
07:25 Grain from Ukraine program foresees provision of at least 5 mln people with grain until end of spring 2023
16.11.2022  
10:02 World sugar production - 179.6 million tonnes - FAOs preliminary forecast
15.11.2022  
20:11 Rice. The 2022/23 global harvest is still envisaged to remain at an overall average level of 512.6 million tonnes
19:38 World wheat production is forecast to reach a record 784 million tonnes in 2022/23,
19:32 Alarming signs as the global food import bill set to rise to nearly US$2 trillion due to higher prices
10.11.2022  
13:35 Conflict on the Black Sea: a review of Ukraine sunflowerseed
08.11.2022  
08:12 Ukraine: FAO reinforces its presence to optimize technical and humanitarian assistance
02.11.2022  
09:52 Pork. Global production is forecast to rise 1 percent in 2023 to 111.0 million tons as production in China increases
09:33 Turkey raises tariff on imported sunflowerseed
09:24 India: The FSSAI's 2021 Draft Amendments to the Approval of Non-Specified Food and Food Ingredients Regulation is now a Final Amendment in 2022
31.10.2022  
08:00 New $250 million USAID grant will boost FAOs efforts to strengthen global health security and agrifood systems
07:45 Global market overview onions
28.10.2022  
07:00 China: Worlds Largest Walnut Producer Turns to Exports
27.10.2022  
08:44 Credit Union Member Farmers in Ukraine Receive Free Fuel Through Worldwide Foundation for Credit Unions Program
24.10.2022  
13:37 EBRD commits up to EUR3 billion to Ukraine
21.10.2022  
17:00 European Commission and EIB initiate feasibility study to better connect Ukrainian and Moldovan railway networks with EU
14.10.2022  
20:15 EBRD and United Kingdom join forces to back Ukrenergo
20:11 Canada and EBRD join forces to support Ukraines Naftogaz
12.10.2022  
21:03 Strong Farmer Selling Sparks Argentina Exports
20:32 EU Corn Imports Remain High with Smaller Crop
10.10.2022  
19:54 Inflation in Ukraine up to 1.9% in Sept, to 24.6% in annual terms - statistics
09.10.2022  
10:54 Turkey Peach and Nectarine Prospects Continue to Ripen
09:32 EU27 sugar production for MY 2022/23 is forecast at 16 MMT
07.10.2022  
11:35 World Bank improves forecast for growth of Ukrainian economy in 2023 to 3.3%
11:17 Asia-Pacific countries urged to rapidly transform agrifood systems as hopes fade for achieving the Sustainable Development Goals by 2030
11:11 Lower forecasts for 2022/23 global cereal output, utilization and trade
11:05 FAO Food Price Index drops for the sixth consecutive month
10:26 How sustainable forest management can enhance the worlds biodiversity

Also available: 


NewsNews - News - News - News - News - News
BriefWeekly Reports - Free article
SubscriptionTariff - News&Reports
AdvertisingMagazine - Site
ConferencesForum AGRO-2013 - DAIRY WORLD-2008 - FERTILIZERS-2010
Statistics
For our clientsAgroNewsDaily - Ukrainian Grain&Oilseed Market - Fertilizers - Milk Monthly - Milk Weekly
About usAbout project - Contact
2002 -2023 © Agrarika, ltd.
tel.: +380 67 4473802; +380 67 5964652
e-mail: client@agroperspectiva.com