Rising calf prices keep concerning growers

The lower calf supply has been concerning Brazilian cattle growers that need to purchase these animals. Calf prices have been reaching records day-by-day. In the states of Sao Paulo and Mato Grosso do Sul, the calf from 8 to 12 months have been trading until 700.00 reals or 407.00 dollars, increasing 40 percent in Real in the accumulated of this year.

Last days, the steer averaged 80.00 reals or 48.00 dollars per arroba (15 kilos) in the Sao Paulo state, values 40 percent in Real higher over May/07. Considering this price, cattle growers that sell an animal of 16.5 arrobas have been getting less than two calves.

For the living hog, prices received by farmers averaged 2.83 reals or 1.70 dollar per kilo on May 15th in Sao Paulo state, increasing 8 percent in Real over April 30th. In the wholesale market of Sao Paulo capital, the hog carcass upped 6.6 percent in Real during the same period, at 4.17 reals or 2.51 dollars per kilo on May 15th. The upward trend is linked to the higher consumption in this period of lower temperatures in several regions of Brazil.

In the poultry market, prices kept moving up in the first fortnight of May, due to the superior demand, which has increased more than the supply. The frozen meat prices upped 4.15 percent in Real between April 30th and May 15th, at 2.76 reals or 1.66 dollar per kilo on Thursday; for the chilled one, the raise was of 10.9 percent in Real, at 2.64 reals or 1.59 dollar per kilo on Thursday, both in the wholesale market of Sao Paulo capital - the most important Brazilian consumer reference. (Cepea - Brazil)

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