Argentina nears deal to export beef offal to China

Argentina is close to securing an agreement to export beef offal products to China, according to two people involved in the negotiations, as both sides move to finalise technical details and Beijing steps up efforts to diversify its food imports.

"We think we are reaching the end of the conversations between both governments... It's just fine tuning between the technical departments," Georges Breitschmitt, president of Argentina's beef promotion agency (IPCVA), told Reuters in an interview in Beijing.

Breitschmitt, who is involved in the negotiations, said the process is accelerating but exact approval dates remain uncertain. A second source involved in the talks said a deal would be reached "soon".

Both said that Chinese officials are expected to visit Argentina on June 8 for further talks.

The push comes as China seeks to diversify its agricultural imports and deepen trade ties with key suppliers, including Brazil and Argentina, amid an ongoing trade standoff with the U.S. that has rattled global markets.

The Chinese customs and Brazil embassy did not immediately respond to a Reuters request for comment as it was outside business hours.

Argentina exports around 30% of its total beef production, with about two thirds historically going to China. But the offal trade follows a different pattern, with the majority shipped to global markets and only limited domestic consumption.

While China remains the top destination for Argentine beef, shipments have recently dropped.

In Q1 2025, China accounted for 56.4% of Argentina's total beef exports in the first quarter of 2025, down from 68% in 2024 and 74.5% in 2023, according to government data.

Breitschmitt attributed the dip partly to the low prices offered by China earlier this year due to high domestic inventories.

"But we are catching up again on volume in May," Breitschmitt said, adding China's reduced purchases of U.S. beef could create new opportunities for Argentina.

In 2024, China imported a record 2.87 million metric tons of beef, customs data showed. Brazil, Argentina and Australia are among China's largest beef suppliers.

(Reporting by Ella Cao and Eduardo Baptista; Additional reporting by Maximilian Heath in Buenos Aires; Editing by Frances Kerry)