Drop in pork prices in China is a point of attention for the sector in Brazil in 2023

Published 2023년 1월 16일

Tridge summary

A recent report by Itaú BBA highlights the complexities and opportunities in the Brazilian agro product market, with a focus on the pig farming sector. The report brings attention to the dynamic situation in China, where expanding sow herds have led to lower pork prices, potentially impacting the cost of imported pork. Despite this, African Swine Fever presents a risk to Asian and European markets, potentially providing opportunities for Brazil, especially with its advanced agreements with global importers like Canada. In the domestic market, the pork sector is expected to see a reduction in production despite efforts to expand supply. Furthermore, the report addresses the challenges of rising feed prices, which are expected to continue putting pressure on farmers.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

According to a report released by Itaú BBA regarding several Brazilian agro products in January, in the case of pig farming, analysts detail that, in a shorter term, the Chinese pig farming scenario calls for attention. This is because, even with a positive outlook for exports of fresh Brazilian protein from Brazil, with prices currently at high levels, pork prices in China have dropped since November 2022, after a year of herd recovery. "This "may increase pressure on the price of the imported product. The sow herd in China continues to expand since April last year, reflecting the improvement in prices", informs the bank. Despite this point of attention, Itaú BBA also points out that African Swine Fever remains a challenge in many Asian and European regions, which which should provide opportunities for Brazil, which has also advanced in agreements with important global importers, such as Canada. In the case of the domestic market, despite the expansion of supply by the pork ...

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