Brazil cattle prices reach R$ 350 per arroba amid export fluctuations

The price of fat cattle (boi gordo) in Brazil has recovered to the R$ 350 per arroba level, a threshold not seen since early August. This upward movement is supported by a comfortable slaughter schedule among major meatpacking plants and a consistent, albeit modest, recovery in the physical market.

In the futures market, expectations remain optimistic. B3 data indicates a potential rise of approximately R$ 30 per arroba starting in October, driven by a projected decrease in the supply of animals ready for slaughter and increased demand in both domestic and international markets.

Despite the price recovery, beef exports saw a decline in September. Data from the Secretariat of Foreign Trade (Secex) shows that fresh, frozen, and refrigerated beef exports earned US$ 249.076 million in the first four business days of the month. Compared to the same period in the previous year, daily average revenue fell by 22.5% and shipped volume dropped by 29.1%, even though the average price per ton rose by 9.3%.

Domestically, retail beef sales have shown improvement due to increased consumer purchasing power following salary payments. However, the sector still faces stiff competition from poultry and eggs.