News

Brazil and World

Disease outbreak causes hike in Chinese hog future contracts

Recently released reports highlight serious disease outbreaks within the world's largest pig herd and this has made China's most active hog future contracts go up more than 4% earlier this week.
The concern with the animal supplies and the possibility of price increase changes the behavior of investors, which generated an increase of 4.08% in future contracts. The ton of pork is now traded at 26,900 yuan or USD 4,166.15.
Last month, Reuters reported that new strains of African swine fever had hit production on breeding farms in China. In addition, the virus has been registered and resulted in the killing of hundreds of animals in Hong Kong. Analysts and industry participants also told Reuters earlier this month that outbreaks of other diseases are hampering production this year.
According to analysts, the scenario is a lot like 2019, when the market began to understand the severity of swine fever, fueling a recovery in the stock market.
Swine fever wiped out about half of China's herd in 2019, a year after it had arrived in the country, pushing pork prices to record levels and fueling the highest consumer inflation in years.
Even with all the efforts put in herd rebuilding, an outbreak of diseases this winter hampers attempts to cut pork prices.
Analysts approached by Reuters do not believe in a rapid recovery of the herd. In addition, in an article published on the Australian portal Beef Central, Andrew Whitelaw, from Thomas Elder Markets, says that the Chinese government's forecast of herd replacement is not in line with reality and that China continues to import large volumes of meat, which would not make sense then if the herd was approaching its normal level.
Brazil and World

Booming market and reduced animal supply support beef price

Beef prices remain heated in Brazil and, according to a Farmnews survey, from January 1st to June 10th this year the average price was R$ 306.6 per arroba, a result 53.2% higher than observed in the same period of 2020 (R$ 200.2).
Brazil and World

Brazil increases pork shipments abroad by 18%

From January to May this year, Brazilian pork exports totaled 453.9 thousand tons, this result being 18.44% higher than the one shipped in the same period in 2020.
Brazil and World

Brazilian chicken exports reach the highest volume of the year

Chicken meat exports from Brazil reached the highest volume in 2021, with 383,181 tons, and corresponded to a historic record for the month of May.
Brazil and World

USDA estimates 5% growth in Brazilian meat exports

Brazilian meat exports should continue to grow and, this year, it is estimated that Brazil will increase its animal protein shipments to the world market by 5%.