No downward trend for Brazilian beef prices
Beef consumption in Brazil is declining due to a spike of 50% in prices reported in 2020. Unfortunately, there is no sign of relief for consumers as exports are expected to remain high and production is stagnating, says the vice president of the Federation of Agriculture and Livestock of Santa Catarina (Faesc), Enori Barbieri.
Santa Catarina is one of the Brazilian states that are consuming more beef than produced but that may change soon. The total consumption of beef in Santa Catarina in the last few years was 300,000 tonnes, while production remained at 140,000 tonnes. Since January this year, a survey conducted by the Catarinense Association of Supermarkets (Acats) shows that beef sales have dropped by almost 15%, while consumers are tempted to buy cheaper animal proteins, especially fish.
However, while beef prices in this state are the most expensive in Brazil, the situation is similar in other parts of the country as well. Even other sectors may see a diminished demand in the domestic market in the following months. "There is no forecast for a fall in the price of beef and pork. The only meat that can remain at a stable price or even increase slightly is chicken. Eggs, another widely consumed protein, will also rise because corn, which is the basis of poultry food, remains expensive," believes Enori Barbieri.
Statistical data released by the government shows that food prices rose by 18.16% last year, while meat prices have increased by 17.97%. That creates the possibility for Brazilian consumers to migrate to cheaper animal proteins and to avoid meat pieces with high added value.
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