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Drought and Exports Vamp Up Brazilian Cattle Prices

09 January 2015

BRAZIL – Deteriorating pasture across many regions and more marketing opportunities abroad have kept cattle supplies tight in Brazil, where all segments of cattle reached record prices last month.

According to the Centre for Advanced Studies on Applied Economics (CEPEA), these factors pushed cattle to 145.48 reals on November 27.

Wholesale beef reached record carcass values, putting live cattle and deadweight beef at the highest point since CEPEA records started in 1994 and 2001 respectively.

Fed cattle prices carried upward momentum in 2015, as drought pressure and renewed market access in China and the Russian embargo on European beef affect domestic supplies.

This has followed Russia’s interest in Brazil’s sector since August.

Going forward, CEPEA added that drought conditions might influence pregnancy and calf development.


TheCattleSite News Desk

Top image via Shutterstock

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