The food machine line comprises more than 2000 companies, mostly SMEs with some multi-national component. This implies 73100 direct jobs and 190000 indirect jobs.

The Argentinean economy continued to display positive indicators in 2005, with an aggregate three years of uninterrupted recovery and compatible long-term growth rates. The food technology sector showed a noticeable recovery, which supported beating the highest production levels in the last decade: US$2.93 billion (machinery and equipment manufacturing). 

Food machinery comprises the following: Cutters, peelers, grinders, labelers, fruit washers, pit and stone removers, dosifiers, centrifugal machines, tanks, etc. However, the most important items for their current production and export figures are: Non-electric bakery, pastry and cookie and cracker ovens; agricultural produce driers; equipment and devices to prepare hot drinks, cook or heat up food; dairy machinery and equipment; machinery and equipment for bakery, preparation of pastries, cookies and crackers or food pastes and for meat.

The first quarter of 2005 showed a 42% increase in the amount allocated to acquire new property, plant and equipment by the companies in the food and beverage industries. 

There is a faster investment pace, in line with the growth in the domestic and external demand. On the other hand, machinery and equipment imports, linked to the evolution of the food industry, hiked by 140% in the first six months of 2005, bakery and dairy machinery standing out.

Positive Aspects of this Sector

• Skilled labor.
  
  
• Available installed capacity.
  
  
• Accumulated know-how.
  
  
• Tradition and history in the production of capital goods.
  
  
• Spread implementation of international quality standards.
  
  
• Demand reactivation.

General Information About the Argentinean Meat Market


The South American market is the driving force for the growth of meat from all species. The increase of it’s premium quality cuts is a key trend. 
In Brazil, Uruguay and Paraguay there have been two-digit increases of exports over the past two years. The household consumption also went up. 
Due to its culture, infrastructure and language, Argentina is the gateway to Mercosur. Furthermore it is among the main producing countries in the world.

Despite some government restrictions, aimed to supply the domestic market, Argentina remains in the group of the major exporting countries. 
Part of the volume that is not exported has been absorbed by Mercosur fellow members, especially Uruguay and Paraguay.

The projections for the last year were revised, with a sizable decrease: exports had been calculated to be 600.000 tons, the current forecast is at 500.000 tons of carcass weight, but everything indicates that this number is still higher than what will prove to be the final figure. Argentina is holding the 4th rank of Beef exports world wide.

After the 2001 crisis, Argentina is again engaged in technology development but does not yet have the required investment to meet the domestic demand, both in volume and sophistication. Export technology is at low cost when compared to other markets.

After having managed to get the foot-and-mouth disease under control, the country is going through historic times, with obvious implications in international trade. The per-capita consumption of beef is the highest in the world.
In the total amount of consumption Argentina is ranked fifth in the world with 2.6 million tons.

The Beef Production in South America, comparing 1990 and 2006 in the slaughter of millions of heads is currently at 56.6 million heads, signifying a 26% increase.



Argentine Beef Industry Vision and perspectives


The global beef trends are increasing costs of production, growing focus on attributes of the end products, consumer driven production and focus on niche marketing. Furthermore there is a small but growing demand for natural and organic beef and a focus on food safety and animal disease prevention.

Prognosis show that the world population will double itself from 1980 to 2050.
There will be an increase of over 25 million tons by 2014 of the red meat consumption.

The consumers driver’s can generally be categorized in the following points:
Consumer trust, brands, sophisticated markets, ethical brands, natural and organic production and standards, food safety, nutritional value and industry image.
Therefore the high-priority subjects can be listed as:
Installed capacity advantage, product development, add value and shell life, by-products advantage, quality, food safety and logistics. 

The installed capacity advantage lies in the coordination, informal slaughter elimination, internal export-market integration, concentration and the increase of the slaughtering weight.
Adding value and shelling life could be achieved through capacity of cold and maturation of beef carcass, portion control and special packing, new packing materials ,cooked beef, commercial sterilization and cured and smoked products.

The by-product advantages can be found in edible products ,the industrial use like leather, risk material(marrow, brains) and also in pet foods.
The important points of maintaining quality lie in cattle and cuts evaluation systems, desensitizing methods, tenderness processes, quality audits to correct defects and uniform and consistence of quality.

The point of logistics can be embraced with product identification, animal welfare in the cattle transport ,beef cuts transport and effluent treatment.

To maintain a food safety emphasis should be put on the control of microorganisms, conservation at low temperatures, alternatives in vacuum packaging and microbiological criteria of food safety. The standardized norms like SSOP, BMP, HACCP, QUACP, ISO should receive attention.

Facts	Bra	Arg	Uru	Par
Cattle (million)	204	55	12	10
Slaughter	38	13	3	2
Production	8.80	3.000	0.650	0.330
Consumption	33	62	26	25
Exports	1.90	0.600	0.500	0.200
Total	1.400	480	26	30
National	750	260	26	12
Export	480	90	22	6
Steer prices	0.83	0.76	0.98	0.81