Author: Lic. Ignacio Iriarte
The lawyer Ignacio Iriarte, director of publication Livestock Report, tells us about the growing demand for corn in the meat business
Although livestock Argentina has 9 million hectares less than in the 90s, the best land surface which became exclusively agricultural use, in recent years the cattle stock continued to grow.This came from the hand of a breakthrough in the consumption of corn in the meat business. To discuss this issue that affects us directly, we spoke with Mr. Ignacio Iriarte.
What’s the current situation and prospects in the use of corn as a supplement in livestock Argentina?
Ignacio Iriarte: Today can be estimated that the beef industry is using about four million tons of corn, if the use of dry beans, add the corn wet-stored in the silo bag field-, gluten-feed, food balanced, deferred grazing on plant corn, green pasture, and corn silage cut and chopped. The growth potential of corn silage in beef production is huge.
The most immediate and safe to recover a bumper maize production is through the calf. It is estimated that corn is valued between 30 and 60% when you transform into flesh.
You say that the price of the calf stands on corn. Can you explain this?
II: In Argentina not quite widespread among breeders the idea that very low values for corn are a very high price, relative to fat for both the calf to calf, bringing the corn now days is putting floor price of the calf.
When corn prices low, the pressure on the calf wintering is such that it values grow more than proportionately to the decline in corn. If today you wanted to dispense with corn and calves would place only among pastoral greenhouses, the calf price fall would be dramatic, because the winter grazing is no longer able to absorb them.
What benefits has brought the use of corn to beef producers?
II: The widespread use of corn allowed significantly increase the load in winter, but especially put a floor under the price of the calf and the relationship buy / sell, thus favoring breeding. Thus, the use of corn could cum fattening for farming, where demand could be huge.
Moreover, supplementation is already used in breeding, especially in dry periods. With a very small amount of corn (2Kg/día) for 100 days, we can improve greatly the cow and the values of today, nothing is more economical and safe.
Then the corn is helping to develop the livestock …
II: What we are seeing is the extreme dependence on maize farming has taken Argentina, an abundant and cheap corn farming helps in a greater proportion than any other ingredient, if we did not have corn today, would you settle several million heads, they just could not keep grass. I estimate that of the 15 million animals are slaughtered in Argentina, no less than 8,000,000 eat corn.
With a third of the national production of corn-tonne-6millones to 600Kg per steer, could be terminated 10 million steers . The expectation is to know what happens if you start to use corn in the 18 million cows is Argentina. This is what is coming and it is spreading the art of fattening steers with corn, so I think that in the short term the beef industry will consume about 10 million tonnes of maize.
What are the prospects in the meat business?
II: In livestock fortunately have unlimited international demand. Meat production grew 20% in an adversarial context, but not enough, as they increase exports and domestic consumption is increasingly strong, indicating a future with an attractive price scenario.
The Achilles heel of Argentina’s cattle slaughter weight, with levels close to those of an underdeveloped livestock -218 Kg-average, and tends to go down.
What set the EEC rules regarding animal with grain supplementation for animals destined for Hilton quota?
II: Last year the EEC imposed that animals bound for Hilton quota were not fed grain, as we had been allocated quota for a steer on pasture. On this, the authorities responded SAGPyA SENASA and that if it was a pasture only going to have very few animals to deliver. Finally, the EU agreed in the form of the animal is not locked, but admitting remains of grain in the rumen, as a matter of animal welfare and image. Animals kept outdoors. Thus is born a form feed as well as locked, but in the middle of the field, so it meets the letter of the Hilton quota.
However, many producers prefer to use a pen Corn closed and lose the Hilton quota, because the schemes are working with such high charges, only possible with corn. Thus many chains had to withdraw from the project because their steers Hilton ended a corral.
The corn boom has led to a new bull calf that is not the Hilton, which is a much better finished steer, which has been locked to corral the last 100 days, and serving to all destinations except Hilton, for example, serves Extra fee for Europe and nicely complements the domestic market.
Today means that corn is the protagonist of the livestock system …
II: Maize is the most promising forage we have today, but it is expensive. The farmer has taken a special love, knowing that in this way the production process is quite predictable. With 10 kilos of corn, I make a kilo of meat.However, grazing, climate variability gives uncertainty. Thus, the corn adds a tremendous predictability to livestock.