The Mercado Agroganadero de Cañuelas held its ninth export auction with 1,500 head and averaged 7,756 pesos per kilo carcass weight for cattle destined for the European Union and the Hilton Quota, with a gap of up to 200 pesos depending on the Visec Carne registry.
The Mercado Agroganadero de Cañuelas (MAG) held its ninth export auction this Wednesday, with around 1,500 head spread across 25 lots; so far this year more than 13,000 have already been traded. Cattle in the categories destined for the European Union and the Hilton Quota traded at an overall average of 7,756 pesos per kilo carcass weight, though with differences of more than 200 pesos for cattle from farms registered with Visec Carne.
The dynamic targets a link in the chain that exporting meatpackers have historically negotiated directly with producers. With consumption falling and exports rising, around 40% of the slaughter now goes to the export industry, so the market is looking to avoid losing its share of that business.
To get around the sanitary restrictions, which do not allow animals to be moved to concentration markets and require them to be shipped directly from the farm to the plant, the option chosen was televised auctions, which are still based in Cañuelas. The sales are held on the first Wednesday of every month and continue to add consignment firms.
The issue gains relevance ahead of the entry into force of the European Union's regulation 2023/1115 at the end of the year. The anti-deforestation rule requires that the meat come from farms that have not been deforested since December 2020, and one of the ways to certify this is the Visec Carne platform, promoted by the meatpackers themselves through the IPCVA.
A few weeks ago, lots without Visec began to be paid up to 10% less at the plant gate, which in terms of price per kilo carcass weight represents between 700 and 800 pesos and sparked complaints and formal objections. At the MAG, by contrast, the difference was narrowed to around 200 or 250 pesos.
“If it can, the meatpacker will buy everything outside, because there it has more power over prices. The sector tends increasingly to concentrate, and what the market does is set reference values and provide transparency,” a leading Cañuelas figure told Bichos de Campo.
The strong point is what happens with a view to the European Union: if the sale goes through Cañuelas, even if only in televised form, reference prices are generated that producers can then use, and the deals are made transparent as to what the buyer pays more or less.
“Support the MAG. This market is yours, it belongs to all producers, and you have to defend it,” said consignment agent Fernando Sáenz Valiente at the end of the auction. “It is an opportunity both for exports and for clients. We consignment agents are very important in this chain,” added Alfonso Monasterio, of the firm Monasterio Tattersall.
“The MAG TV Exportación auction is already part of the agenda of producers, consignment agents and meatpackers. We work so that each session brings more predictability, transparency and reference prices for the cattle that goes to international markets,” said Nicolás Franchini, general coordinator of the MAG.
“This channel has consolidated as a reference for the export cattle business. We thank the producers, the consignment houses and the meatpacking industry that accompany it month after month. The goal is to keep growing and add ever more supply,” said Carlos José Colombo, president of the Mercado Agroganadero. In December the tenth and last auction of the year will be held and the schedule will resume from March. With the expectation of surpassing 15,000 head in 2026, the sector trusts that the momentum will come hand in hand with the European market, environmental requirements and the search for a price reference.
