The European Union (EU) decided that starting February 1, Argentina would be able to reinitiate its shipments
of fresh bovine meat from areas that have been free of aftose fever over the last 60 days. This represents all of Argentina with the exception of La Pampa and Santiago del Estero provinces. The decision has been
received very readily as it is seen as a door opening in the middle of a scene of extreme crisis. Producers are conscious that it will be necessary to keep that door open with transparency and responsibility.The
announcement represents the possibility of reestablishing 5,000 jobs that the Argentine meat industry lost during the ten months of prohibition of Argentine meat products. It is also the opportunity of beginning to
slowly recover the U$S 500 million lost by the productive chain in 2001.
In spite of the excitement caused by the news, the task at hand is not simple and it will be necessary to sustain the credibility that local
health authorities have tried so hard to recover during the last few months.
Secretary of Production Jose Ignacio de Mendiguren assured days ago that the decision of the EU is a "success" for Argentina. However, the
magnitude of the achievement will grow in the measure that the country solves the problems caused by the paralysis of the cattle-producing sector.
Keep on building
One of the elements to keep in
mind is that the chain of payments in the meat industry is broken. In many cases, this will cause the absorption of the first sales by banks and financial companies to whom meat-processing plants have asked for
loans. Also, with the perspective of a new market, the provision of livestock for slaughtering will have to be negotiated, considering many cattle producers cannot (or are unwilling to) sell animals on credit.
On the
other hand, Argentina has five months for assigning the Hilton quota and delivering 28,000 tons of high quality meat that will reach European lands without paying tariffs. This is one of the high priority -and
extremely difficult- tasks that the Secretary of Agriculture has established as an immediate goal. The difficulty resides in the fact that many producers were forced to sell their animals in the local market at very low
prices and now count with a small number of animals for keeping up with their shipment obligations The Hilton quota is composed by the best Argentine cuts. To this panorama must be added the fact that La Pampa, a
traditionally agricultural Argentine province, will not be allowed to collaborate with its animals.
Positive points
Without a doubt, the work to be done is extremely intense, but the perspective
seems to be much more promising than months ago. The expectation is now centered on the possibility that other markets will imitate the European decision. Israel, Russia and Chile are now the countries that local
authorities look at with great hope. The reactivation of exportations is a highly positive fact that will help to strengthen other areas of national economy – these will be benefited with the devaluation of the peso in
relation to the dollar when having to export their products.
Bernardo Cane, President of the Argentine health authority Senasa, confirmed –while he announced the reopening of the European market- the dates for the new
vaccination of rodeos that will be performed between February and April. With this he tried to express the decision of the institution he is in charge of: to continue with the effort that has been going on for almost a
year and that was characterized for putting an end to the policy of concealment kept until that moment.
Argentine meat will soon return to European supermarkets, a place where it is appreciated and
preferred, a place where it was rejected as a result of the inept attitudes of several sectors. The drastic equation was completed with the appearance of selfish political and commercial interests, both internal and
external. The task at hand is not over, but this is a good beginning. The main point will be to maintain credibility.
E-campo.com
