Businessmen in the sector say that for the last two years the theft of livestock and illegal slaughtering of animals has been on the rise.
Representatives of the Federation of Livestock Associations of Nicaragua (Faganic) reported that another situation that affects them is the shortage of credit for producers.
Following an outbreak of paralytic rabies in Veraguas province, local authorities reported that a cordon sanitaire was established to prevent the spread of the disease.
Representatives of the Ministry of Agricultural Development (MIDA) explained that the quarantined area is equivalent to a 10-km radius from the reported outbreak in Mariato district.
The regional guild of the sector reported that the volume of milk produced by the countries of the region increased from 3.5 to 3.7 million metric tons between 2015 and 2016.
According to figures from the Central American guilds, the increase in global production registered in 2016, when the most updated statistics exist as a region, is explained by increases reported in all countries, mainly from Costa Rica with 18%, followed by El Salvador with 14%, Guatemala with 13%, Panama with 6%, and Honduras with 4%.
Projections for 2017-2018 are to plant an area of 1.7 million manzanas (a unit equivalent to 1.72 acres), in the cattle sector 865 thousand head of cattle are expected to be slaughtered and, in the dairy industry the expected projections are of 280 million gallons.
The Plan for Production, Consumption and Trade in the 2017-2018 Cycle includes details of the Nicaraguan government's projections for agricultural, livestock, poultry, aquaculture and forestry sectors for the current year and the next.
In the first four months of the year the volume of meat exported exceeded the figure for the same period in 2016 by 45% and generated income of $134 million.
The value exported was also higher than the one registered in the first quarter of last year, when $96 million was exported, according to Cetrex's figures.
The Livestock union has agreed with the government flexibilities in terms of deadlines, prices, and free export of descarded male and female livestock.
From a statement issued by the Federation of Livestock Associations of Nicaragua (FAGANIC):
Ranchers are complaining that the increase of $0.20 per kilogram of cattle exported as leather is eroding their competitiveness.
The DGI published in La Gaceta on 4 February that "... In every act of exporting live cattle made by natural persons, it will be mandatory to submit to the Center for Exports (CETREX ) and the Directorate General of Customs Services the taxable receipt in original format which supports retention payments for its verification. "
In 2015 a 15% increase in the volume of milk exported offset the fall in international prices of meat and the recurring problem of smuggling in the sector.
Although meat is still the leading export sector in Nicaragua, the country's foreign exchange earnings fell by 1.6%, going from $474.8 million in 2014 to $467 million in 2015. This information was disclosed by the Nicaraguan Chamber of Beef Exporting Plants (Canicarne).
As a measure to discourage smuggling, the taxable limit for withholding income tax on the export of live cattle has been reduced.
The Federation of Livestock Associations of Nicaragua (Faganic) welcomed the decision to reduce the limit for incurring income tax, believing that it will be an incentive to reduce smuggling of cattle and allowing more to be exported through the formal market.
Producers and industrialists in the livestock sector have agreed to work together to reduce smuggling by optimizing controls on the movement of cattle.
The problem of cattle smuggling is an issue that has already been denounced on several occasions , and has now led to industry players coming together to make changes to processes and improve controls. The goal is to minimize smuggling so that industrialists have sufficient supply to give to slaughterhouse and producers get better yields.
Authorities at the Ministry of Health in Nicaragua have strengthened health checks at the border with Honduras due to the presence of paralytic bovine rabies in the department of Lempira.
Although health authorities have assured that the outbreak now poses no risk to Nicaragua, preventive measures are being implemented such as " ...Controls focusing on 100% of notifications of animals, domestic or wild, suspected of having rabies.
From 19 to 22 November, producers and representatives of companies in the livestock sector will be showcasing their products and taking part in business meetings.
The 17th edition of the National Agricultural Fair will be held at the Parque Nacional de Ferias, south of Managua, which will showcase and market the best of cattle and horses.
Every animal slaughtered in a slaughterhouse produces 10 liters of blood, which when processed produces a protein supplement used in the preparation of food for human and animal consumption.
The Danish company Proteínas Naturales SA (PROTENA) has invested $10 million in six years and has been processing for the last four years, bovine blood resulting from the process of slaughter of cattle for export to Costa Rica for use as a protein supplement and the newly opened U.S. market. In 2013 its sales in the domestic and foreign market generated approximately $800 thousand.
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