Brazil's BRF expects feed cost to remain steady next year due to record soybean harvest
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SAO PAULO, Nov 14 (Reuters) -Brazilian pork and chicken processor BRF BRFS3.SA expects steady feed costs for next year, largely due to favorable grain supply from an expected record soybean harvest, company Chief Financial Officer Fabio Mariano said on Thursday.
The company expects the soybean harvest in Brazil to yield nearly 170 million tons, with the U.S. and Argentina also having significant production volumes in 2024-25.
BRF is also looking into ways of diversifying how it sources feed, as corn ethanol plants expand in Brazil and increase competition for the grain, company executives said.
BRF Chief Executive Miguel Gularte said one option is to use distiller's dried grain, a byproduct of the corn ethanol industry that is growing in popularity as a feed grain.
The company expects demand for its products to remain strong, and sees opportunities for growth in investments at a faster pace than in the last two years, Mariano said.
Reporting by Roberto Samora; Writing by Fabio Teixeira; Editing by Lisa Shumaker
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