Beef expected to get even cheaper in Paraguay

Steaks, burgers, and other beef products are expected to become even lower priced in Paraguay, after the United States Senate passed a law banning the import of Paraguayan beef to the USA.

Beef producers in the USA are struggling, which agricultural economists have attributed to a combination of drought, high production costs, and inflation. According to the US Department of Agriculture (USDA), cattle inventory across the US dropped to 28.2 million this year – the lowest level since the 1970’s, and 2% down from a year ago.

That the new law links the decision to supposed food safety standards has annoyed lawmakers in Paraguay.

Lower House Speaker Raúl Latorre has argued that Paraguay has the best meat in international markets, and points out that it is regularly selected by consumers, in competitive markets with food safety standards which are generally regarded to be of a higher standard than the USA, such as the European Union (EU), which itself bans the import of US beef products due to the hormones and other drugs injected into US cattle.

“The people of the rest of the world from very important countries, with important quality standards, such as Israel, Germany, Chile, who import Paraguayan meat, do not force their consumers to buy this meat, and our quality makes that in a daily exercise of tougher democracy, the consumer chooses Paraguayan meat over all other competitors in the world” Latorre said.

He went on to suggest that the decision by the US Senate had nothing to do with food safety, and was simply a protectionist measure designed to win votes.

“This decision of the US Senate is framed, and can only be understood, within the framework of an electoral situation and in an exacerbated protectionism of its market ‘considering the future elections in that country’ and overlook technical decisions taken by specialised agencies, based on years of scientific analysis, thus affecting the credibility of its own institutions and bilateral relations with a strategic ally in political, economic and social matters, such as Paraguay,” he added.

Many US nationals living in Asuncion regularly praise the quality of Paraguayan beef, and say it’s a huge upgrade on US-produced beef.

“You can see the difference immediately, from the colour of the fat”, said one US expatriate/immigrant who requested anonymity. “In the States, it’s white – because it’s pumped full of drugs, basically. Here it’s a more natural off-white, yellow-y colour, which is how it’s supposed to be – how it is naturally. And that makes it taste so much better.”

“There is no ‘pink slime’ here in Paraguay, only great beef”, added another. Pink slime is the common name for a heavily processed beef by-product which contains ammonia gas. It remains banned in the EU, UK, Canada, and various other jurisdictions – but remains approved for human consumption in the USA by the Food and Drug Administration (FDA).

It had taken around 25 years of negotiation to reopen the US export market for Paraguay’s beef producers, which was eventually approved by the US Government in 2023. Paraguay passed all the sanitary tests and requirements, and the first beef shipment was sent in January 2024.

With wrangling over the latest law expected to drag on for a long time, residents of Paraguay can look forward to lower prices caused by the now over-supply of Paraguayan beef which was intended for export to the USA.

“Great, let’s have an asado”, said Keith Richards, an Asuncion resident originally from Michigan.