"We have a marvelous climate. In the Pampa Region we can grow a wide variety of products and we can make two harvests a year. Because our farmers do not receive help from the state, they have evolved to be naturally competitive."
Manuel Otero, vice president of the National Institute of Agricultural Technology








Argentina has long been recognized as a key producer of beef, and Argentinean beef is similarly recognized as some of the finest beef in the world. Farming and ranching have been a way of life in Argentina for centuries. Although the farm and the ranch have become more mechanized, some things have not changed. Livestock still freely roam the grassy heartland, and gauchos still tend the farm on their horses. In a world where the family farm is disappearing, the backbone of the Argentinean agricultural sector continues to be almost entirely individual farmers, or small companies - about 400,000 of them in total.

Argentina is the fifth largest agricultural exporter in the world. Argentina is the largest exporter of soy oil, soy flour and sunflower oil; the largest sorghum and honey producer; the second largest exporter of corn, (the United States is the first); the third largest exporter of meat; and the fifth largest producer of flour.

While Argentina's agricultural sector is diverse, beef remains key both in terms of exports, and in terms of domestic culture. Argentines rank among the world's biggest meat-eaters plus they eat four meals a day. Cena (dinner) in the evening is the largest meal of the day and almost always includes beef.

A controversial beef export ban, imposed last spring in an effort to control domestic prices, has been eased. Its long-term effects are still to be seen.

Argentina's farmers and ranchers are looking for new market niches to increase exports, specifically the upscale demand for naturally produced foods and meats. In particular, Argentine wine and beef, produced naturally, are a focus.

Argentina is the world's sixth largest producer of wine. Vast expanses of fertile land, a favorable growing season, and a range of different growing altitudes provided by the Andes chain of mountains have all supported Argentina's emergence as a wine producing country, recognized worldwide.

While most winemaking continues to be on family-run farms, in order to market globally, family owned operations, that are competitors domestically, are banding together for more effective marketing globally. They organize themselves by forming "clusters" or "export consortia" - groups of wineries that pool their funds - in order to finance their business travel and participate in fairs and promotions in other countries. They join forces in spite of their internal competition and have entered into new markets as a result. Between 1999 and 2004, Argentina experienced an 800% increase in wine export volumes. Annual business volume in the wine industry exceeds 4.5 billion USD.

The agricultural sector is one of Argentina's economic staples. The sale of agricultural products still makes a major contribution to the gross domestic product and accounts for 60 percent of all of Argentina's exports.



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