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Lower hog supply pushes up animal and pork prices

From July 27 to August 3 live hog and pork prices rose as supply fell. Cepea says farmers and slaughterhouses have reduced production in recent months because of high production costs, to prevent further losses. In addition, the temporary increase in domestic demand and exports at record levels (despite a 2% fall in July) have also supported prices. The biggest gains in live hog prices were in São Paulo and Santa Catarina, at 10.6% and 8.7%, respectively. In these states live hogs were sold to slaughterhouses for R$ 3.82 / kg and R$ 3.40 / kg, respectively, on August 3. On the wholesale market in São Paulo special carcasses went for R$ 6.12 / kg on August 3, up by 14.9% in the week. Regular carcasses gained 8.1%, to R$ 5.59 / kg on the same day.

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