Cheap Corn Encourages Heavier Argentine Cattle for Export

Lower feed costs are encouraging producers to keep cattle longer and add more weight.

BUENOS AIRES, ARGENTINA (RFD News) — Argentina’s cattle sector is producing heavier animals as favorable corn economics and strong export demand encourage longer feeding periods, according to USDA Foreign Agricultural Service staff in Buenos Aires.

Beef production is forecast at 3.14 million metric tons carcass-weight equivalent in 2027, up 3% from 2026, even as cattle slaughter rises only slightly to 12.8 million head.

High feeder-cattle prices and relatively low feed costs are encouraging producers to retain cattle longer and add weight. In June, it took only 58 kilograms of finished steer value to buy one metric ton of corn, compared with a 2016-2025 average of 102 kilograms.

Feedlot occupancy reached 76% in July, six percentage points above a year earlier. Export-oriented meatpackers are also seeking heavier, better-marbled cattle, reinforcing demand for longer backgrounding and finishing cycles.

The report expects heavier slaughter weights to remain a key driver of beef output as global demand stays strong and Argentina competes for higher-value export markets.

Farm-Level Takeaway: Favorable feed economics are helping Argentina add more beef per animal while strengthening its export competitiveness.
Tony St. James, RFD News Markets Specialist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Stronger export and crush demand could help offset pressure from USDA’s record yield forecast.
Producers able to hold grain could find better marketing opportunities after the main harvest window.
Lenders are watching repayment capacity as uncertainty around crop profitability continues
New systems could give producers easier electronic access to acreage records and federal loan information.
Farm income climbed in 2025, but high production expenses continued to limit gains for producers.
EPA is considering when to restore 770 million renewable fuel credits lost through refinery exemptions.
USDA and the FTC are asking producers to share firsthand experiences with equipment sales and repair restrictions.
Charly Cummings of Superior Livestock discusses strong buyer demand, cattle market trends, and fall weaning and marketing decisions for ranchers.
Energy costs contributed to the increase, with prices for final-demand goods rising 2.6 percent during the month.
Lower machinery sales reflect continued producer caution toward major equipment purchases as farm margins remain under pressure.
H-2A employers should watch for a new federal wage methodology and possible backpay requirements following the court ruling.
Large USDA revisions added pressure to corn markets and increased producer concern over timing, consistency, and forced sales during harvest.