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


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
FAO's Committee on Agriculture focuses on how livestock sector transformation can contribute to achieving the SDGs >

17:10 FAO urges G20 to support farmers, protect the vulnerable and invest in innovation
17:00 Decline of Ukraine's GDP slows to 3.5% in Q3, 2020 statistics
16:35 Bulgarian grain trading has been slower than the previous season
12:21 Bosch and BASF establish joint venture for digital technologies in the agricultural sector
08:50 Lower Sunflower Seed Production in Ukraine and Russia Tightens Global Oilseed Supplies
17:00 Global almond production for 2020/21 is forecast 15 percent higher to 1.7 MMT
10:48 Despite a cut in world cereal production, this years forecast output remains an all-time high
14:50 Global food prices continue rising in October
12:15 BASF and TECNALIA accelerate R&D of new crop protection products through digitalization
17:00 Scrapie Identified in Sheep in Iceland
16:35 National budget receipts target met by 109.8% in Oct Treasury
17:00 European Bank for Reconstruction and Development and FAO approve COVID-19 technical support package
16:45 2020 EU milk deliveries will grow by one percent
16:41 Pork. Global productionisforecast 4 percent higher in 2021 due to rebounding output in countries affected by ASF
17:00 FAO and OIE kickstart global initiative to stop spread of deadly pig disease
16:50 KWS Group achieved an approximately 15% increase in net sales to 1.28 billion in fiscal 2019/2020
16:35 NBU keeps key policy rate at 6%
13:00 Cargill invests to promote circular economy with its first multi waste- and residues-based biodiesel plant
13:55 International prices of wheat and maize rose sharply in September but those of rice edged down
20:45 ACC insists on early adoption of law on govt bond issue for settlements with 'green' energy
20:25 New Zealands milk production in 2021 is forecast at 22 MMT
15:10 Despite the threat of the COVID-19 pandemic and lumpy skin disease, Taiwans $1.5 billion dairy sector remains strong
15:10 IMF improves assessment of Ukraine's GDP fall in 2020 to 7.2%, growth to 3% in 2021
11:35 Manitou Group formalizes its partnership with NEOLINE to reduce its carbon footprint
16:25 Inflation in Ukraine grows by 0.5%, falls to 2.3% year-over-year in Sept statistics
15:30 Prospects for U.S. Corn in Latin America
16:10 World Bank predicts Ukraine's GDP fall by 5.5% in 2020 with 1.5% growth in 2021
15:25 Cereal markets to remain well supplied in 2020/21
14:25 Prices of several staples up to multi-month highs
16:30 UAE consumption of chicken meat products has fallen but stabilized
15:05 Ovostar creates JV with Dutch JMMMTJL to sell egg products
13:30 EBRD provides working capital loan to Ukraines Astarta
18:20 FAO's Committee on Agriculture focuses on how livestock sector transformation can contribute to achieving the SDGs
17:45 Argentina forecasts 2021 chicken meat production up 2% at 2.23 MMT
16:35 CNH Industrial announces subsidiary notes offering
17:15 Czech Republic Sees Solid Harvest Despite Initial Drought
14:55 Russian Federation. Steady demand for chicken meat and ample feed supplies are expected to lift production to 4.725 MMT in 2021
14:40 World peach and nectarine production is forecast down 1.1 million metric tons to 21.0 million
12:15 High-level roundtable calls for strengthened collaboration in the Near East and North Africa
12:09 State Statistics Service confirms assessment of Ukraine's GDP fall at 11.4% in Q2 2020
11:45 Belarus plants half of area under winter grain
11:20 Fitch affirms Kernel at 'BB-', outlook stable
11:11 Consumer confidence of Ukrainians continue improving in Aug study
17:15 Development of secondary govt bond market could solve problem of financing of state budget 2021 deficit member of NBU Council
16:25 Drought Continues to Stymie Romanian Oilseeds
16:15 Private Exporters Report Sales Activity for China and Unknown Destinations
15:30 Case IH Adds New Configurations to Seeding and Planting Portfolios
14:20 COVID-19 impacts driving up acute hunger in countries already in food crisis
13:25 J.P. Morgan expects Ukraine's GDP to fall by 4% in 2020, grow by 6% in 2021
16:15 Belarus Expanded Crush Capacity Drives Soybean

Also available: 

Agrarian Week in digital


NewsNews - News - News - News - News - News
BriefWeekly Reports - Free article
SubscriptionTariff - News&Reports
AdvertisingMagazine - Site
ConferencesForum AGRO-2013 - DAIRY WORLD-2008 - FERTILIZERS-2010
For our clientsAgroNewsDaily - Ukrainian Grain&Oilseed Market - Fertilizers - Milk Monthly - Milk Weekly
About usAbout project - Contact
2002 -2020 © Agrarika, ltd.
tel.: +380 44 4868119; +380 44 5934540
e-mail: client@agroperspectiva.com