Rabobank reveals the impact new Argentinean bans will have on the global beef market

In May this year, the Argentine government suspended beef exports for 30 days. After these 30 days, new restrictions were imposed on the amount and type of beef that can be exported. What impact this will have on the Argentine beef industry and the global market, Rabobank experts said.

The global number of confirmed cases of Covid-19 began to rise again in mid-June after falling from a peak in late April. There were significant increases in Europe, the Eastern Mediterranean region, Africa and the Western Pacific region. Food retail performance remains strong and food service sales continued to improve in June, but the new strain of Delta coronavirus and an increase in cases could impact the food service sector in the coming months.

Unfavorable weather conditions and supply constraints are keeping coarse grain prices high. Rabobank forecasts wheat, corn and soybeans to remain high in Q4 2021, putting upward pressure on the feed market.

Cattle prices in the top beef exporting countries continued to rise or remain stable in the second quarter of 2021. Notable exceptions were Argentina and Canada, where cattle prices fell sharply and cattle prices in Brazil broke the upward trend.