Meat consumption in Uruguay

The domestic market of Uruguay has systematically been the second most important destination of the meat produced in the country.

Paying special attention to consumers with regard to the safety of meat and meat products, defending consumer rights, and ensuring access to products have been some of the strategic lines strengthened by this administration.

As regards food safety and consumer rights defense, new technology has been incorporated and inspection procedures have been updated, and at the same time they have been standardized by law. The preparation and composition of products traded in butcher shops and supermarkets has also been standardized by the making of manuals.

Mr. Gabriel Costas, DVM, from the Domestic Market Control Directorate, has declared that it has been of paramount importance that meat policies address the needs of those sectors of the population having less purchasing power, to whom it is more difficult to have access to the consumption of the different meats.

In order to achieve this goal, actions have been coordinated with a view to establish an ongoing dialogue with the industry, the retail sector, and consumers, so that the global needs of the population and of some specific sectors are satisfied, by searching viable commercial alternatives. In this course of action some agreements have been reached at different times, from which the following outstand:

  • March 2005, establishment of the price of the rib plate at an accessible level,  
  • August 2005, reduction of the price of the beef flank and sheep meat forequarter,
  • March 2006, new price agreement as to the trading of rib plate,
  • October 2007, trading of 528,000 cans of Corned beef product, with a price reduction of about 58 %
  • June 2008, establishment of the price and 90-day price freeze for the following cuts: chuck roll, shoulder and round.
  • January 2009, reduction of 20 % in the price of the eye round.

Likewise, some actions have been coordinated with the Executive Power to exempt some cuts or meat products from the application of the VAT, with the commitment by the private sector of moderating the final prices, among which the following can be highlighted:

  • September 2005, sheep meat VAT exemption,
  • August 2006, 10% reduction on the VAT applicable to beef and beef offal, COFIS exemption
  • May 2007, VAT reduction applicable to pig meat and poultry,
  • August 2007, VAT reduction applicable to beef cuts for 60 days (rib plate and flank),
  • September 2007, VAT exemption applicable to poultry and offal.
  • February 2009, VAT exemption applicable to frozen ground beef.

It is important to point out that in this period there have been some ongoing extensions of the VAT exemption applicable to sheep meat, pig meat and poultry at different times.

As to the interior of the country, the project known as "Knowledge of the consumption of different meats per Department" has begun to be implemented.

Accountant Valentina Herrera explained that so far data from six Departments have been collected: Flores, Soriano, Río Negro, San José, Colonia, Durazno, Paysandú, Salto, Tacuarembó, Rivera and Artigas. At this time the consumption baskets per Department and per area are being prepared.

Likewise, INAC will demand the presentation of Sworn Statements of the Goods entered into meat selling points of the Departments of the Interior of the country.

Departments confirmed so far: Salto, Paysandú, Artigas, Flores, Durazno, Florida, San José, Soriano, Río Negro, Colonia, Tacuarembó and Rivera.

Until now said sworn statements were required form the Departments of Montevideo and Canelones.

The purpose of this project is to generate information that allows for the optimization of decision-making regarding meat consumption, which will serve as the fundamental pillar for the preparation of policies that satisfy the consumption needs of the population.

Consumption trends:

In the year 2008 the meat consumption of the Uruguayan population was of 86.0 kgs/person/year, this being a high figure compared to FAO information regarding consumption in developed countries (66.8 kgs/person/year) and developing countries (32.1 kgs/person/year).

Beef consumption between 2004 and 2008 increased from 47.2 kg to 54.7 kg per person per year.

Poultry consumption increased from 12 kg per person per year in 2004 to 17 kg in 2008.

In turn, during the same period, sheep meat consumption increased from 3.9 kgs to 5.7, and pig meat consumption remained at 8.6 kg/person/year.

In the first semester of 2009 there has been an increase of the volumes sold in the domestic market, which is 11.5 % greater than that of the first semester of 2008, volumes of this year being the greatest volumes of the period 2004-2009.