Pig prices are skyrocketing in Brazil
Reduced production and high demand for pork products in the domestic and external market have pushed pork prices in Brazil to record levels in July, according to the Center of Advanced Studies in Applied Economics (CEPEA). In Santa Catarina, the main source for animal protein in Brazil, the average price for pig meat rose by 40%, reaching $1.15 per kilo, the highest in the last 18 years.
Similar growth was seen in Parana, where the average price for a kilogram of pig meat reached $1.20, marking an increase of 42%. According to CEPEA, the commercial reopening in important consumer regions after the isolation measures forced by the coronavirus pandemic has caused local demand to increase recently, while exports remain strong, further limiting domestic supply.
In the first three weeks of July, Brazil has exported 53,200 tonnes of pork, an average of 4,100 tonnes per day, according to the Foreign Trade Secretariat. In the entire month of July 2019, exports were 61.5 thousand tons, with a daily average of 2.7 thousand tons. According to CEPEA, the prices of live pigs in the country reached the lowest levels of the year in April, the height of social isolation in Brazil, when the kilo was quoted at about $0.68 in the main markets.
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