Industrial Added Value hits a three-year low

The value generated from the sale of all products derived from a Type Steer 2.0 after industrial processing posted a slight monthly increase of 0.1% in September, reaching US$ 1,788 per head, according to data released by INAC.

The report showed an increase in the value of the carcass in the domestic market and in the price of fresh hides, partially offset by the stability of the export basket and of offal and by-products.

In September, livestock value rose 3.2% to US$ 1,536 per head, while industrial added value (IAV) dropped US$ 46 (-15.4%) to US$ 252 per head. As a result, packer margins for the Type Steer fell to 14.1%, their lowest level since July 2022 (13.2%).

So far this year, the share of livestock in the Type Steer value stands at 79%, with 21% for IAV, compared with 74% and 26%, respectively, in 2024.