O physical cattle market recorded higher prices for beef in most of Brazil’s commercial markets throughout April.
According to the Crop & Market analyst Fernando Iglesiasthe good volume of rain allowed livestock farmers to adopt the retention of cattle supply in the past as a recurring strategy, allowing negotiations to take place at higher levels.
For May, the picture tends to change completely, with the weather still playing a decisive role in price formation.
According to Iglesias, the lack of rain and high temperatures in the Center-North of Brazil should cause great wear and tear on pastures, causing livestock farmers to be forced to negotiate a greater number of animals from the second fortnight onwards, which could lead to a downward trend in prices.
Fat cattle arroba prices
- São Paulo (Capital): R$ 233.00 per arroba (up 3.56% since March, from R$ 225.00 per arroba).
- Goiás (Goiânia): R$215.00 per arroba, unchanged from the previous month.
- Minas Gerais (Uberaba): R$ 230.00 per arroba (advance of 4.55% since March, R$ 220.00 per arroba).
- Mato Grosso do Sul (Dourados): R$ 225.00 per arroba (increase of 2.27% since March, from R$ 220.00).
- Mato Grosso (Cuiabá): R$ 220.00 per arroba (advance of 4.76% compared to the previous week).
- Rondônia (Vilhena): R$ 192.00 per arroba, a drop of 0.52% compared to the R$ 193.00 recorded at the end of March.
Wholesale
The wholesale market presented firm prices throughout April. The hind quarter of the ox rose 1.17%, going from R$ 17.10 per kilo to R$ 17.30 per kilo. The forequarter of beef rose 5.90%, from R$13.20 to R$13.90.
According to Iglesias, the business environment still suggests increases in the price of wholesale beef throughout the first half of May, due to the celebration of Mother’s Day. From the second half of the month onwards, however, the outlook is for a calmer business pace, which could contribute to changes in the price scenario.
Exports
Exports of fresh, frozen or chilled beef from Brazil generated US$923,343 million in April (20 working days), with a daily average of US$46,167 million.
The total quantity exported by the country reached 203,839 thousand tons, with a daily average of 10,192 thousand tons. The average price per ton was US$4,529.80.
In relation to April 2023, there is a 58.1% increase in the average daily export value, a 56.6% gain in the average daily quantity exported and a 5.1% devaluation in the average price.
