The fat cattle market remains firm despite lower demand

Part of the demand has shifted toward grainfed cattle, while others have reduced their activity, and the two main companies in the sector are operating three of their four plants. This has moderated demand for grassfed animals, but supply is extremely scarce, so the market remains firm. The operators consulted yesterday noted that prices remain within the same ranges as last week.

Special steers are still being paid between US$ 5.10 and US$ 5.15 per kilo carcass weight. As for cows, those with carcasses over 240 kilos are paid US$ 4.90, but those below that weight are quoted with discounts. Some mention a discount of 5 cents for every 10 kilos less in carcass weight. Special heifers are paid US$ 5.00 per kilo.

Deals for animals coming from feedlots, which had been closed at ACG base plus 20–30 cents, are now being paid at US$ 5.30–5.40 per kilo carcass weight.

Bookings are highly variable. Those focusing on production for the 481 quota — starting earlier than in previous windows — have not exited the market but are offering delivery terms of 15–20 days. Other slaughterhouses are offering bookings 3–4 days after the deal is closed.

An operator consulted yesterday said that, in his view, “prices are not going to drop, but they might stop rising.” This is because, even though demand has decreased, “the supply of grassfed animals can be counted on one hand.”