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Brazil sees record high cost of production

The Swine Production Cost Index in Brazil reached record highs in 2022.

The year 2022 ended with a production cost per kilo of live pig of 8.07 Brazilian reais. This is the highest value ever recorded by Embrapa (Brazilian Agricultural Research Company). Production costs reflect both technical productivity coefficients and market prices of inputs and production factors and, in the case of swine, are calculated based on a farrow-to-finish system in Santa Catarina, the state used as a national reference.

This also caused the Swine Production Cost Index (ICPSuíno) to reach a new record score of 461.90 points. Compared to November, the index increased by 1.09%, closing 2022 with a cumulative increase of 15.33%. The cost of feed, with an increase of 0.96% and making up 79.59% of the total cost, had the greatest impact on the cost index in December.