Due to the drought there is less fodder and the cattle have lost weight, Can that impact the price of meat? In response to this query, the director of Abasto Santa Clara, Jorge López, told The Observer: “If it doesn’t go up this week, go up next weekdue to the increase in production costs.
The low forage availability It has caused many producers to finish their fat cattle on a ration, an input that has had a price rise in recent weeks due to high demand, and this factor, taken into account within the production cost scheme, could have an impact at the of final product. “Food is very expensive because of the scarcity of fodder and good cattle are increasing,” she said.
Germán Moller, president of the National Association of Butchers (ANC), commented that he has not yet seen much impact at the price level in butcher shops, but indicated that there is “somewhat less supply in some cuts”. This is not something that is very noticeable and may be due to the fact that some refrigeration plants have stopped their activity, he explained.
“The square is supplied. They may not offer you volume, but I have not noticed missing”he assured.
“We will see how the market moves and we will wait for it to rain. We are not oblivious to what is happening but we are the last link that comes to suffer the consequences of this,” he added.
farm market
Despite the fact that López foresees a movement in the price of meat, he stressed that For now, the lack of water has not influenced prices and offer in supply. It is possible that prepared fat cattle will become scarce and that may lead to a rise in prices, he explained.
At the last meeting of the Livestock Shippers Association (ACG), This Monday, there were increases in values in the fat cattle market, both for the steer and for the cow and heifer, which were valued at US$ 3.41, US$ 3.11 and US$ 3.28 per kilo in fourth balance, respectively. The consignees informed after the meeting that for the time the activity is moderate and that the values and entries to refrigerators are disparate.
Otto Fernández, president of Screen Uruguay, explained to The Observer that prices with an upward trend are given by “a clear shortage” of cattle to send to the industrya consequence of the water deficit, of summer sowings that have not had good results due to the high levels of temperature and the lack of water, in addition to early sales “that came from last summer”, by those who decided to lower the load of fields.
Regarding the values of fat cattle for businesses this week, the businessman commented: “I think that (the price) is on the same path, due to the scarce supply”, and stressed: “The producers analyze the situation day by day.”
