After a $20 million global investment, Grupo Rey launched a meat processing plant and a cold and frozen distribution center.
By inaugurating two industrial plants, which together cover an area of 7,400 m2 and are in the capital, in the La Locería sector, the business group aims to improve production, distribution and supply processes.
After the approval of three beef processing plants in Panama by the Chinese authorities, it is expected that in the first months of 2019 the Central American country will begin to export its products.
The meat products plants which received the endorsement by the General Administration of Customs of China to start selling their products to the Asian giant were Matadero de Chiriquí, S.A. (Machisa), Unión Ganadera, S.A. (Ungasa) and Macello.
In September, the FAO food price index decreased 7% compared to the same month in 2017, because of lower prices for meat, dairy products, cereals, vegetable oils and sugar.
From FAO's monthly report:
» The FAO Food Price Index* (FFPI) averaged 163.5 points in October 2018, down 1.4 points (0.9 percent) from September and some 13 points (7.4 percent) below its level in the corresponding period last year.
For Nicaraguan stockbreeders, the imposition of a 30% tariff on beef imports from Panama violates the conditions established in the trade agreement between the two countries.
In Panama, representatives of the Nicaraguan Chamber of Beef Export Plants (Canicarne), reported that the imposition of tariffs and other non-tariff measures for Nicaraguan meat have stockbreeders and industrialists concerned.
In September, the FAO food price index decreased 7% compared to the same month in 2017, explained by the decline in prices of meat, dairy products, cereals and vegetable oils.
of the monthly report FAO:
» The FAO Food Price Index* (FFPI) averaged 165.4 points in September 2018, down 2.3 points (1.4 Percent) from August and some 13 points (7.4 percent) below its level in the corresponding period last year.
In the first quarter of the year, countries in the region reported $148 million in beef sales abroad, and sales to the United States increased by 25% compared to the same period in 2017.
Figures from the information system on the Fresh, Refrigerated and Frozen Bovine Meat Market in Central America, compiled by the Business Intelligence Unit at CentralAmericaData: [GRAFICA caption = "Click to interact with graph"]
Between January and August 2018 and the same period in 2017, the number of slaughtered cattle remained unchanged, while figures for pork slaughter increased by 11%.
According to the latest report from the Comptroller General of the Republic of Panama in the first eight months of the year, 215,854 heads of cattle were slaughtered, a figure similar to the 215,026 reported in the same period in 2017.
To correct alleged price distortions in the local market, the Panamanian government plans to regulate imports of beef from Nicaragua.
The Ministry of Agricultural Development (MIDA)'s plan is to establish new import rules, which will aim to correct the "distortion in the price of beef paid for the local product."
The farmers' association reports that the annual per capita consumption of boneless beef has fallen from 13.6 kilos to 13.3 kilos.
The National Association of Cattle Ranchers (Anagan) states that the reduction, although slight, is due to a fall in local production and an increase in imports, which may have generated an imbalance in the local market.
Negotiations are taking place with companies in Argentina and Paraguay to import beef and supply the local market, which would increase supply and help push prices down.
Representatives from the Ministry of Economy (Mineco) reported that they have already initiated first contacts with companies and authorities of the two South American countries, and that they are waiting for accreditation to show that cattle coming from these markets are free of diseases.
The FAO food price index registered an interannual decrease of close to 1%, due to weakening in most markets, as a result of tensions in international trade relations.
From the monthly FAO report:
The FAO Food Price Index* (FFPI) averaged 173.7 points in June 2018, down 2.4 points (1.3 percent) from its level in May, representing the first month-on month decline since the beginning of this year.
Starting from June 30, 2018 products such as stomach, intestines and bladders from Nicaragua may enter the Asian country duty free.
From a statement issued by the Embassy of Taiwan in Nicaragua:
Managua, Wednesday, June 27, 2018.Under the provisions of the Second Free Trade Meeting of the current FTA between Taiwan and Nicaragua, as of June 30, 2018, Decision No. 6 will enter into force, which establishes that Taiwan can import the following bovine products tariff-free: stomach, intestines and bladders, from Nicaragua.
In Panama, between January and May of this year, the slaughter of 231 thousand head of pigs was recorded, 10% more than was reported in the same period in 2017.
The most recent figures for the slaughter of cattle produced by the Comptroller General of the Republic, show that during the first five months of 2018 and the same period in 2017 a decrease of 1% was registered, falling from 134,000 to 132,000 heads.
The FAO food price index grew 1.9% year-on-year, due to the increase in prices of dairy products and cereals.
From the monthly report on the FAO food price index:
The FAO Food Price Index* (FFPI) averaged 176.2 points in May 2018, up 2.2 points (1.2 percent) from April level and hitting its highest level since October 2017. The increase in May reflected a continued steep rise in dairy price quotations, while those of cereals also rose, albeit at a slower pace. By contrast, vegetable oil and sugar markets remained under downward pressure whereas meat values changed little.
Figures from the sector's union show that in the first quarter of 2018 the country bought 1,645 tons of meat from abroad, 10% more than was registered in the same period in 2017.
The National Association of Cattle Ranchers (Anagan) reported that between the first quarters of 2017 and 2018, meat imports in Panama increased by 150 tons, rising from 1,495 tons to 1,645 tons.