Livestock market continues to rise. The abundance of fodder weighs more heavily in much of the country and the strong pace of industrial activity than the slaughter of poultry for quota. The market is also driven by a demand from abroad that does not stop and an export price for beef above US$ 5,000 per ton..
The rains marked a before and after. It went from a growing offer to lighten the load to a retraction in search of a good finish for the herds.
The special steers continue to be the least available and reach prices of between US$ 4.50 and 4.60 per kilo in fourth scalesurpassing the last average of US$ 4.52 of the grid of the Association of Livestock Shippers (ACG) for the special steer for export.
The fat cow goes from US$4.15 to US$4.25 in well-weighed batches. Some plants with kosher slaughter showed a greater preference for steers, but in general the placement is good for all categories.
Entries are still agile, between a week and 10 dayssaid Alberto Arocena, manager of the Silveira Rural Businesses office.
For the operator, firmness will persist throughout February, with the possibility of a certain stabilization in prices associated with the slaughter of poultry.
The boost given by the water is accompanied by a notable firmness in external demand for beef.
China is expected to increase its import of beef by more than 10% this yearand that from the point of view of prices there are no surprises, the president of the Cold Storage Industry Chamber, Daniel Belerati, told Tiempo de Cambio on Radio Rural.
The United States market is invigorated, while Europe seems to be going to live with covid and demand remains.
A slaughter of 2.7 million cattle “may be a very reasonable number” for this year, estimated the industrialist. If given, it would exceed the 2021 record.
The slaughter of the last week was 52,494 bovines and took the accumulated from January 1st to 29th to 198,764 heads, above that of the last two years.
In parallel, the export price does not loosen, and so far in 2022 it averages US$ 4,933 per ton for beef. In the last week it reached US$5,240 according to preliminary figures from the National Meat Institute (INAC).
This dynamic that shows the start of the year begins to move to the replacement, a market very tied to the climate. Private businesses come with a demand that clearly exceeds supply and has turned to price, with increases in practically all categories.
In the first auction of the year of Uruguay Screen last week this change in dynamics was reflected, with 100% sales and recovery of values. Calves averaged $2.45, gaining more than 30 cents from December (16%) and more than 50 cents from January 2021 (26% increase). The highest monthly increase was for pregnant heifers (35%), with an average bulk price of US$ 858.
The sheep, on the other hand, show a slight rebound after a strong drop at the beginning of the year, with entries that are shortened by around a week. The lamb is located in the axis of US$ 4 per kilo and the sheep on US$ 3.60.
The slaughter was 25,812 sheep last week, reaching 108,324 heads in the monthly accumulated, 5.6% more than the previous year on this date.
The slaughter and processing of beef remains at high levels.
In sheep meat, although China and Brazil are expected to ease at the start of the year, the values for now show a sustained firmness, with an average export price of US$ 5,705 per ton in the last week and a very high annual accumulated value. similar, of US$ 5,582 per ton, 14.6% above the values achieved in 2021.