August 16, 2010

Argentina may miss EU Hilton quota this year

Argentina is likely to again fall short of the 28,000-tonne Hilton quota in 2010-11, after having shipped only 17,362 tonnes swt in 2009-10.

The Argentine beef export industry is worried about the short supply of heavy steers suitable for product shipped under the EU "Hilton" High Quality Beef quota.

This year's shortfall is due to the current low cattle supplies and poor prospects for the remainder of the year, as a La Niña weather phenomenon is expected to bring widespread drought, according to local consultants.

In addition, the quota has not yet been distributed among local exporters. The industry is facing a similar scenario as in 2009-10, when the quota started being distributed in small batches from November onwards.