WASHINGTON, June 4, 2025 (Reuters) — The United States Department of Agriculture announced Thursday it will allow imports of fresh Argentine beef for the first time since 2005, when a foot-and-mouth disease outbreak led to a blanket ban.

The decision, effective July 1, follows a final inspection by USDA veterinarians in March. Imports will be limited to boneless cuts from certified disease-free zones, with an initial quota of 20,000 tonnes annually — roughly $180 million in export revenue.

"This is what happens when you have a government that knows how to negotiate," Milei said in a statement from the Casa Rosada. "For 20 years, Argentine beef was banned while Uruguayan and Brazilian beef filled American supermarkets."

Argentina is the world's fifth-largest beef exporter, with annual shipments of approximately 900,000 tonnes. The United States represents a potentially massive market for premium Argentine grass-fed beef.

Ranchers in Buenos Aires Province have begun preparing for US exports, with several major processors investing in facility upgrades to meet USDA sanitary standards. Frigorifico Rioplatense announced a $12 million modernization of its Zarate plant specifically to handle US-bound production.

At full quota expansion, which Argentine officials project could reach 50,000 tonnes within two years, US exports would rival Argentina's current shipments to China. China is a volume market; the US is a value market. Chinese buyers typically purchase cheaper cuts, while American consumers show strong demand for premium ribeye and tenderloin, generating higher margins per kilogram.

The beef agreement was negotiated alongside bilateral discussions about technology transfer and investment protection. The Biden administration has signaled support for deepening agricultural trade ties with Argentina as part of a broader strategy to reduce US dependence on Chinese food imports.

Small producers in northern Argentina worry that meeting USDA standards will require investments in fencing and veterinary services that exceed their financial capacity. The Argentine Rural Society has requested that the government establish a credit line for small and medium ranchers seeking to upgrade their operations to meet US sanitary requirements.

The first shipments are scheduled to depart from Buenos Aires on July 15, bound for Miami and Los Angeles.

USDA inspectors will maintain a permanent presence at the Zarate processing facility to ensure ongoing compliance with American sanitary standards. The inspection protocol includes testing for residues, verification of cold chain maintenance, and documentation of animal traceability from farm to slaughterhouse.

Argentina's beef industry has undergone significant modernization in preparation for US market access. Genetic improvement programs have increased the percentage of Angus cattle in the national herd from 35% to 52% over the past decade, while feedlot finishing techniques have reduced the variability in meat quality that previously concerned American buyers.