Brazil beef output down seven percent in 2008-09

Brazilian beef production decreased seven percent on-year in 2008-09 to 6.4 million tonnes cwt, a larger fall than the five percent registered in 2008-07, according to new figures from the Brazilian Statistics and Geography Institute (IBGE).

Slaughter declined nine percent to 27.17 million head, as total average carcass weight increased two percent to 234.5 kg.

Cow and calve slaughter in 2008-09 declined 15 percent and 50 percent, respectively, indicating that the Brazilian cattle industry remains focused in rebuilding the herd after the high slaughter in 2005-07.

Steer slaughter decreased five percent, while young steer and heifer slaughter dropped nine percent.

IBGE's data accounts for only around 75 percent of total Brazilian slaughter, as there are unregistered informal slaughter. Total annual slaughter is estimated at 40 million head.

Slaughter and production have declined over the past two years from the 2006-07 peak, due to tightening supply, appreciating real, rising local consumption and trade disruptions in 2008-09 due to the financial crisis.

While production fell 11 percent from 2006-07 to 2008-09, exports declined 31 percent during the same period, according to World Beef Report.