Agriculture Secretary Brooke Rollins recently announced that the United States is considering importing beef from Argentina in an effort to ease soaring beef prices. Speaking on CNBC’s “Squawk Box,” she highlighted the current strain on beef supplies due to a significant drop in the domestic cattle inventory, now at its lowest in decades.
Rollins mentioned that the plan, which has been discussed by the Trump administration, is set to provide for about 2 million metric tons of beef imports. While this may sound substantial, she clarified that it constitutes a small fraction of the total 12 million metric tons of beef consumed in the U.S. each year. Most of this beef, around 10 million metric tons, is produced domestically.
Furthermore, Rollins emphasized that the U.S. Department of Agriculture (USDA) will be vigilant regarding the potential arrival of foot-and-mouth disease, which is currently affecting cattle in Argentina. This disease poses risks not just to Argentina’s livestock, but also to the health of American cattle.
The National Cattlemen’s Beef Association has expressed concerns over the plan, stressing that it could create market instability for American ranchers. CEO Colin Woodall warned that increased imports at this critical time for U.S. cattle producers might not sufficiently lower grocery prices for consumers and could even harm domestic livestock production.
Woodall pointed out the stark trade imbalance between the U.S. and Argentina, noting that while Argentine beef sales have exceeded $800 million in recent years, American beef exports to Argentina have been minimal, reaching only $7 million. This uneven relationship raises questions about the wisdom of increasing imports when American ranchers are already facing challenges.
As the USDA commits to safeguarding the American livestock industry, ranchers remain wary of the implications of this proposal, urging the government to prioritize domestic production and support for local farmers.
