Luiz Bittencourt warns of knock-on effect of low hide prices
29/01/2019
Writing an opinion piece in a Brazilian magazine, Mr Bittencourt said the value of Brazilian hides has, historically, fluctuated between 6% and 8% of the value of cattle going to slaughter, although he pointed out that there have been times in the price cycle when that value has increased to 12%. “Today, at most, it’s 2%,” he said.
Mr Bittencourt went on to point out an important consequence of this. He said: “As a knock-on effect of this low return on the hide, packer companies have no incentive for looking after the hide and the repercussions of this are devastating.”
Share this story:
