JBS Reports Strong Demand for Meat in the U.S.

RIO DE JANEIRO (Reuters) – Brazil's JBS, the world's largest meatpacker, sees "very strong" demand for beef, pork, and chicken in the U.S., reported Wesley Batista Filho, president of JBS USA, during the firm's third-quarter earnings call on Thursday.

This robust demand is aiding the company in addressing tight margins within the beef segment as the recent reduction in U.S. cattle supply has led to increased beef prices, he explained to analysts.

Gilberto Tomazoni, JBS's global president, noted that strong chicken demand and stable grain prices suggest a continued positive outlook for this sector. He does not anticipate "major surprises" in grain costs, as favorable weather conditions have benefited soybean and corn harvests.

Furthermore, the sustained external demand for Brazilian beef is facilitating price improvements in the foreign market amid rising costs for Brazilian cattle, according to Tomazoni.

On Wednesday, JBS reported a net profit of 3.84 billion reais for the third quarter, which is more than six times higher than the previous year, bolstered by its pork and chicken business in Brazil.