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Price of broiler cows remains unprecedentedly high

23 December 2021 - Stef Wissink

The persistently tight supply continues to prop up the prices for slaughter cattle; even when the new corona measures make meat trade more difficult.

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The supply of cattle for slaughter has been at a low level all year long. In combination with the relaxed corona measures, it ensures that prices continue to rise. At the beginning of December the idea circulated that the summit had been reached. Christmas supplies are coming to an end and new corona restrictions are slowing down the meat trade. Yet supply is so tight that prices for cattle for slaughter have risen further (after a small dip).

Slaughter figures
Last year, more than 49 cattle were slaughtered up to and including week 536.000, according to figures from the Netherlands Enterprise Agency. This year, just under 453.000 cattle were slaughtered in the same period. A decrease of 83.000 animals, or a decrease of over 15%. There was also a small supply of cattle in Germany this year, which is supportive for the Dutch market.

Recently, prices for slaughter cows in the Netherlands increased further. While the price of sausage cows (of the first quality) was set back by a penny a few weeks ago, it has increased by a penny each time in three consecutive weeks. As a result, the historic level of November has now been broken. Sausage cows (of the first quality) quote an average of €3,08 per kilo, carcass weight.

China allows Brazilian beef
The world's largest beef importer, China, has now allowed the import of Brazilian beef again. The export flow was halted for months due to the discovery of two BSE cases in Brazilian cows. Brazilian livestock farmers repeatedly expressed their dissatisfaction with the state of affairs. This is because China is the main buyer of Brazilian beef. China imported more than 500.000 tons of beef from the country in the first seven months of the year. This represented a value of more than $2,4 billion.

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