Feed costs for cattle feedlots in Brazil closed 2025 at levels significantly below those of 2024, shaping one of the most favorable scenarios in recent years for the activity, according to the Ponta Agro Feed Cost Index (ICAP), reported by the DBO portal.
On an annual average basis, the ICAP was 12.0% lower in the Center-West and 3.8% lower in the Southeast compared with 2024, allowing for strong margins for feedlot operators despite some monthly fluctuations.
In December, the index reached its lowest level of the year in the Southeast, at R$ 11.74 (-4.4% month-on-month), while in the Center-West it closed at R$ 12.69, posting a slight increase of 1.3% from November.
The structural decline in costs was supported by a bumper grain crop—especially corn and soybeans—and by greater availability of coproducts such as DDG, citrus pulp, sugarcane bagasse, and cottonseed, at more competitive prices.
Ponta Agro highlighted that December delivered the best margins of the year for feedlots. Even though the arroba price did not exceed R$ 330 as expected by the market, the combination of lower feed costs, market expansion, record exports, and firm domestic demand ensured
