en.Wedoany.com Reported - Uruguayan agricultural engineer José Manuel Mesa Cacheiro recently wrote that the country's livestock sector is currently exhibiting a dynamic different from global trends. Against the backdrop of a global meat supply shortage and the need for several years to restore livestock herds, cattle prices in Uruguay continue to rise, with the herd size maintained at approximately 11.8 million head, and the breeding herd showing slow but sustained growth.

The article analyzes that Uruguay has not shown signs of collapse or liquidation commonly seen in other cycles. Unlike countries that have undergone significant adjustments, Uruguay's production base has not declined recently, making the transition more gradual and less noticeable. The system is evolving from a state of balance rather than rebounding from a crisis. Price signals are clearly present in the international market and are transmitted from export values to livestock, but this transmission process is not always immediate or fully aligned with producers' perceptions.

Mesa Cacheiro stated that Uruguay's cattle prices are supported, export market recognition remains consistent, and the breeding herd is slowly expanding. These factors create a situation without obvious urgency or extreme signals dominating market interpretation. The current changes are not marked by disruptions or abrupt shifts in market variables, but rather a continuous improvement while the production base remains stable. Therefore, the real challenge for producers is not to determine whether the market is declining, but to accurately interpret the cyclical changes underway. In a world with reduced meat supply, value will be captured by those who understand that the cycle is already in motion.

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