Type Steer index rose 4% in May versus April

The Paraguayan Association of Meat Producers and Exporters (Appec) released the monthly report of the Type Steer 2.0 indicator for May, showing another monthly increase in the index. The value generated by the sale of all products from a Type Steer 2.0 (a male with 480 kg live weight and a 54% yield) after industrial processing was US$ 1,322 per head, representing a 4% monthly rise compared to April, according to Valor Agro.

The purchase price of the male was US$ 986 per head, a 2% increase, while the Gross Industrial Margin (including costs and profits) stood at US$ 336, a 12% rise versus April. The Gross Industrial Margin in May was 25.4%, the second-lowest of the year after April’s 23.5%. On average, it stands at 28%, a year-on-year increase of 6%, according to the report.

Raw material prices for slaughter saw a marked downward correction in June in Paraguay, so the indicator is likely to close with a decline at the end of the first half of the year.