The extraordinary beef import quota introduced by the United States was an unforeseen factor that helped drive up finished male cattle prices in Brazil, according to Paulo Mustefaga, executive president of the Brazilian Meatpackers Association (Abrafrigo).
In comments reported by Globo Rural, Mustefaga said the industry had expected prices to recover from August or September due to the herd rebuilding phase of the cattle cycle, but had not anticipated the additional impact of higher production costs and the new US quota.
The Cepea/Esalq indicator reached a nominal record of R$ 376.30 per arroba on October 8, up 3.3% since the beginning of the month.
The extraordinary 300,000-ton quota for lean beef, introduced by Washington on September 1, stimulated Brazilian shipments to the US market. In September, Brazil exported 48,300 tons to the United States, an increase of 389% year-on-year and the highest monthly volume in at least three years.
This growth helped partially offset the collapse in sales to China, which fell 93% year-on-year to 12,900 tons following the exhaustion of the 2026 quota. Adding to the strength of cattle prices is the renewed demand from meatpackers preparing shipments for entry into China in early 2027.