Brazil beef market steadies amid China quota concerns

The Brazilian "boi gordo" (fat cattle) market closed the week with prices largely unchanged, supported by a restricted supply of finished animals. The Cepea index held around R$353 per arroba in São Paulo and similar levels in other regions, while regional price movements in northwest Paraná and the Triângulo Mineiro showed modest gains.

Exporters and slaughterhouses are acting cautiously because China's import quota for Brazilian beef is approaching about 80% of its allocated limit, creating uncertainty over future Chinese purchases. Some plants have reduced premiums for the premium "boi China" category and are extending slaughter schedules, while others operate with higher idle capacity.

Producers are also holding back inventory, preferring to wait for better price opportunities, which together with limited buying by processors keeps the market balanced. International demand remains strong, particularly from the United States, contributing to overall stability. In contrast, the calf (bezerro) segment faces downward pressure, with prices dropping in Mato Grosso do Sul due to higher supply and weaker demand.