Colombia: The forecasts of the average price of fat cattle

Published 2023년 1월 16일

Tridge summary

The article reports that fat cattle prices in Colombia have remained steady from the previous week, with positive outlooks for the industry. The current prices are higher than the same period in 2022, marking a significant increase over the past year despite rising production costs. The government is working towards exporting beef to the United States, which could boost the industry, although uncertainties remain due to political changes in the country. The national average price for fat cattle is $8,729, with variations based on gender and type of cattle. The industry aims to reach an export goal of $600 million, which supports domestic prices.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

For the second week of the year, the price of fat cattle remains at the same level as the previous week. Most of the auctions are already beginning to operate and the prospects are turning positive, and if the indicators behave as experts predict, we will have some good cattle herds. Let's see If we compare the behavior of the price of cattle in the first week of 2022 and its behavior until mid-May, it would have to be said that nominally the price of cattle started 2023 at a good level. In the first week of January 2022, the nominal price of fat cattle was $.6,848 kilo vs. $7,938 observed in 2023, that is, $1,090 above, which is equivalent to 15.9%. From that level registered in the first week of January 2022, the price rose until mid-May to $8,802 ($1,954 pesos per kilo, equivalent to an increase of 28.5%). This, which seems excessive, is in nominal terms and the sector came from a sharp increase in production costs that between 2020 and 2021 exceeded the increase of 33.5%. The ...

Source: MXContexto