Brazil’s Red Meat Industry Poised for Growth in 2024: USDA Report

Title: Brazil’s Red Meat Industry Poised for Growth in 2024: USDA Report

Brazil is anticipated to witness significant growth in red meat production, consumption, and exports throughout 2024, as outlined in the latest Global Agricultural Information Network (GAIN) report from the USDA’s Foreign Agricultural Service.

The report highlights a surge in cow slaughter that commenced in 2023, expected to persist until the latter half of 2024, contributing to an overall projected increase of 4% in slaughter numbers. This rise in slaughter volumes is projected to exert downward pressure on prices.

As the world’s second-largest beef producer and the leading beef exporter, accounting for a quarter of global beef exports, Brazil is expected to witness a 4% increase in beef production in 2024, reaching 11.37 million metric tons. Simultaneously, domestic beef consumption is forecasted to rise by 4%, reaching 9.4 million metric tons, driven by increased beef availability and favorable prices for consumers.

The report anticipates record levels of beef exports in 2024, projecting a 2% increase to nearly 3 million metric tons.

In the pork sector, the USDA report forecasts a 6% growth in the pig crop, attributed to lower production costs, enhanced domestic consumption, and robust foreign demand. Hog slaughter is expected to rise by 4% in 2024.

Pork product production is forecasted to increase by 4% in 2024, totaling 4.6 million metric tons, driven by heightened slaughter rates, reduced feed costs, and strategic investments to boost production. Domestic pork consumption is also expected to climb by 4%, reaching 3.18 million metric tons in 2024, due to improved domestic availability and more affordable prices.

Furthermore, pork exports from Brazil are projected to increase by 6% in 2024 compared to the previous year. This growth is attributed to expanded purchases from new markets, increased export demand from existing consumers, and Brazil’s favorable sanitary status compared to competitors facing challenges with animal diseases, particularly in Europe.