Beef prices remain stable despite strong supply from Australia and Brazil

Published 2024년 6월 19일

Tridge summary

International beef prices are holding strong despite increased supply pressures from major exporters Australia and Brazil, which together account for 38% of global exports. While beef prices saw a slight dip in May, they remain higher than last year's levels. Both countries have significantly boosted their export volumes, with Australia anticipating a 9% rise in 2024. However, the increased supply and competition, especially in the Chinese market, are exerting downward pressure on prices. Meanwhile, the dairy sector is facing challenges with a drop in local milk prices leading to cow liquidation, and China's Ministry of Agriculture reported an 18.4% decrease in local beef prices in late May compared to the previous year.

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

Original content

International beef prices seem to continue resisting the supply pressure generated by both Australia and Brazil, a tandem that together represents 38% of world exports, according to the Rosario Livestock Market (Rosgan) analysis. Taking the meat price index, prepared by the Food and Agriculture Organization of the United Nations (FAO), we observe that the average of the reference values of bovine cuts already exceeds for the tenth month consecutive trajectory of the general index. Read also: Ruralists from Formosa reject “a 3000% tax increase” and demand improvements in infrastructure To calculate it, a basket composed of average prices of 4 types of meat (pork, poultry, lamb and beef) is taken, weighted by the participation of each in world trade, taking as a base = 100 the average recorded during the period from 2014 to 2016. In beef, the three countries whose prices make up the average reference values are the United States, Australia and Brazil. According to the FAO price ...

Source: Agromeat