Brazil: beef will be for special occasions only, report warns

11/07/2013
A new report from a consultancy specialising in the beef industry in Brazil has predicted rising prices and declining consumption in the market there.

São Paulo-based Informa Economics FNP has said Brazil will continue to be one of the biggest producers of beef in the world, but that because production costs, including the price of land, are going up, consumers will be asked to pay more for beef and are likely to reduce their consumption as a result.

Technical director, José Vicente Ferraz, said on presenting the new report that Brazilian families will, typically, only have beef on special occasions.

In the last ten years, the report says, Brazilian livestock farmers have, collectively, lost 7 million hectares of land on which to raise cattle and are set to lose 13 million more in the course of the next ten years.

Mr Ferraz said the effects of this can already be seen in Rondonópolis in the cattle-raising state of Mato Grosso. The price of farmland there has increased by 451% since 2003.

Per capita beef consumption in Brazil in 2010 was 33 kilos.