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Report 1638

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editor: Rafael Tardáguila

Published: June 2025

FOB Mercosur

U.S. beef market operating under a new dynamic

Despite the lack of clear trade flow after the tariffs imposed by Trump, business with the U.S. has not come to a halt. A trader active in that market explained to WBR that although uncertainty remains across all segments of the chain (importers, traders, distributors, and retailers), two major players —Cofco and McDonald’s— continue to import large volumes of beef into the U.S.

FOB Mercosur

Chile operating without major changes

Chile’s purchasing pace from its two main suppliers remained stable last week, both in price and volume. One importer reported deals for the 19/20 cuts from Brazil at US$/t 5,950–6,000 CFR, while Paraguay was shipping in-transit loads priced at US$/t 6,100–6,200 CFR.

FOB Mercosur

Beef production growth in Mercosur shows signs of exhaustion

Cattle slaughter in Mercosur countries during May is estimated at around 4.1 million head, the highest monthly volume since August 2024. However, when looking at the annualized trend, slaughter volumes have stopped growing in recent months and are likely to take a moderate downward path starting in the second half of this year.

FOB Mercosur - Markets

Solid increase in steer prices across Mercosur

Slaughter cattle prices saw a significant increase this week, supported by rising price references in Brazil, Argentina, and Uruguay, as well as by the weakness of the U.S. dollar. The WBR Mercosur Steer Index rose 9 cents for the week to US$ 3.98 per kilo carcass weight, the highest level in five weeks.

Brazil

Minerva seeks to block Marfrig–BRF merger

On June 13, Brazil’s Administrative Council for Economic Defense (Cade) authorized Minerva to act as an interested third party in the review of the merger between Marfrig and BRF. The decision was signed by Cade’s acting superintendent general, Juliana Domingues.

Brazil

Brazil to host World Meat Congress

For the first time, Brazil will host the World Meat Congress, scheduled to take place from October 27 to 30, 2025, in Cuiabá, in the state of Mato Grosso. The event will bring together producers, exporters, researchers, and institutional representatives from over 20 countries involved in the global animal protein chain.

Brazil

Six-week high for finished male prices

Slaughter cattle prices continue to rise. The average price of the finished male (boi gordo), based on Scot Consultoria’s figures —excluding the Funrural tax and with 30-day payment terms— exceeded R$ 300, a level not seen since early May, six weeks ago.

Uruguay

Minerva notifies Coprodec of Colonia sale to Allana Group for US$ 48 million

Minerva has fulfilled the agreement signed with the Commission for the Promotion and Defense of Competition (Coprodec) and sold Establecimientos Colonia to the Indian group Allana for US$ 48 million, according to a document sent to the stock market last Friday. According to the company, the operation is part of a counterproposal related to the purchase of the San José and Salto plants, but it was conditioned on the immediate resale of the Colonia facility to Allana, reported Money Times.

Uruguay

Pregnancy rate exceeds 80% in most breeding herds

The pregnancy diagnoses carried out in May by cattle producers associated with the Plan Agropecuario reflect an outstanding performance of the breeding herd. According to the RING survey for May and early June, 58% of producers reported pregnancy rates above 80%, with a general average of 81% for the month.

Uruguay - Markets

Special steers reach US$ 5

The price of special export steers reached US$ 5 last week—a level not seen since August 2022, nearly three years ago. Market firmness persists, driven by strong demand for a scarce raw material.

Uruguay

Cattle slaughter hits lowest level since Easter week

Cattle slaughter dropped by more than 8,500 head, affected by the 24-hour strike organized by Foica in response to the workplace accident at Cledinor and the suspension of operations at Minerva’s Carrasco plant. INAC reported that during the week ending June 14, a total of 42,586 head of cattle were processed, the lowest number in eight weeks, since Easter week.

Uruguay - Markets

Minimal activity in the sheep market

The sheep meat market remains firm, with prices gradually trending upward. Lambs are paid at US$ 4.40 per kilo, while mutton trades between US$ 3.65 and US$ 3.75. Some plants are primarily processing mutton.

Argentina

Argentina close to fulfilling 2024/25 Hilton quota

According to data from the European Community, as of May 31, 2025, 28,145 tons of Argentine beef had entered the EU under the Hilton Quota—equivalent to 95.77% of the country’s allocation. This leaves just 1,243 tons to be shipped in the final month of the 2024/25 cycle, which is about half of Argentina’s recent monthly average exports to the EU.

Argentina - Markets

Export steer prices up by around 2%

Export steer prices rose by Ar$ 100 per kilo carcass weight —around 2%— after remaining stable for just over a month. Crossbred British-type finished steers are now trading between Ar$ 5,100 and 5,200 per kilo carcass weight, while zebu crossbreeds are selling for Ar$ 4,900 to 5,100.


Paraguay

Industry supports official plan to end foot-and-mouth vaccination by 2027

The president of the Paraguayan Meat Chamber (CPC), Randy Ross, confirmed on Valor Agregado on Radio Asunción 1250 AM that the meatpacking industry supports the official position of Senacsa to stop vaccinating against foot-and-mouth disease by 2027. “It would be good to move up to the next league,” Ross emphasized in reference to the goal of achieving the status of free of foot-and-mouth disease without vaccination.

Paraguay - Markets

Calm in prices and business activity

Industry price lists for cattle purchases remained unchanged over the past week, with reference prices of US$ 3.50 per kg carcass weight for regular steers and US$ 3.20 for finished cows. Although some deals were closed, a market intermediary told WBR that producers are “holding their ground and refusing to sell at these prices,” and considered it “possible” that some price movement could occur next week.

North America - Markets

Steady fed cattle prices

World leaders across the political spectrum are attempting to mitigate the warring between Israel and Iran. The attacks on oil depots in Iran could threaten oil supplies in the world. Escalating war threats also impair world trading including beef shipments to export destinations. Monday’s mood was somewhat calmer and oil prices moderated in overnight trading.

Oceania

Cargill strengthens its presence in Australia

Cargill has announced an agreement to acquire 100% ownership of Teys Investments, an Australian beef producer in which it already held a stake. The Teys family, which has operated the business for over 75 years, decided that the time was right to transfer full ownership to Cargill. The move is part of a strategy to ensure the continuity and growth of both Teys Australia and Teys USA—two key players in the global beef industry.