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May 13, 2022
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See how much more was sold and how much the price dropped with the cheap roast offer

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The roast offer at $ 230 a kiloestablished at the end of March by decision of the government (VAT was removed first for 30 days and the measure was later extended for the same period), complemented by a resignation of income from refrigerators, distributors and merchants, allowed to double the sales volume and that the price has shown an adjustment of up to 9.5%.

These data were collected by technicians from the National Meat Institute (INAC).

The application of the VAT exemption (Law 20,024, dated March 23, 2022) of the frozen or chilled roasted cut of 10 or 13 ribs generated a double effect at the retail level, it was explained.

On the one hand, an increase in volumes. In the five weeks after the law came into force, 1,297 tons of roasted 10 or 13 ribs were marketed, doubling the volumes compared to the previous five weeks (when the price exceeded $300 on his floor).

The roast at $230 was not distributed equally in various areas of the interior.

Another effect was decrease in prices, which to the retailer showed an evident drop, which in the weeks of greatest impact reached 9.5% in relation to the week prior to the exemptionaccording to the INAC.

Besides, it was perceived that the demand for other cuts of roast was also affected, generating a positive effect on its commercialization.

Results of a web survey carried out in April to 95 points of sale in Montevideo, through the survey of prices carried out monthly by INAC, allow us to highlight that 88% marketed the roast cut 10 or 13 ribs, of which 44% corresponds to supermarkets and 56% to butchers.

On the other hand, from the analysis of the average sales prices that arise from the survey, it is allowed to point out that 75% of the points of sale sold the consumer the roast cut 10 or 13 ribs at a price less than or equal to $230.

In this link you can see the study prepared by the INAC.

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