Feedlot activity on the rise: Mato Grosso plans to increase the volume of cattle finished in 2025, even with fewer producers in the activity.

The third feedlot survey conducted by the Mato Grosso Institute of Agricultural Economics (Imea) shows that the volume of animals confined in Mato Grosso grew by 4,05% in 2025, reaching 928,670 head. This increase occurred despite a reduction in the number of ranchers who decided to use feedlots, which fell from 85,65% in 2024 to 69,57% this year. The result indicates a concentration of activity, with larger feedlots expanding their operations and sustaining the overall growth.

Among livestock farmers who opted to maintain the practice, feedlot finishing remains the main system, adopted by 97,30% of those interviewed. Semi-confinement was mentioned by 29,73% and Intensive Pasture Finishing (TIP) by 8,11%, demonstrating the combined adoption of different strategies to improve performance and productive efficiency.

Among producers who will not use feedlots, half have the infrastructure available but plan to migrate to alternatives such as semi-confinement or TIP (Intensive Production System). This change reflects the intensification of livestock farming in Mato Grosso, focusing on finishing animals earlier, with greater weight and competitiveness.

The survey also shows that smaller feedlots have been gradually ceasing operations. Among those that will not operate feedlots in 2025, 72,73% have a static capacity of up to 1,000 head. On the other hand, among active feedlot operators, 50,00% have a capacity exceeding 2,001 head, while small-scale operations represent 34,21% of the sample. This scenario reinforces the professionalization of the sector and the consolidation of more structured feedlots.

The cost of daily feedlot work increased by 16,47% compared to 2024, reaching R$ of 13.79 per head/day. The increase reflects the rise in feed input prices, but remains below the levels recorded during the "commodity boom" in 2020/21. The improvement in the exchange ratio between finished cattle and corn, which reached 5.52 sacks per arroba, helped to alleviate pressure on margins, benefiting ranchers who maintained the system.

Among the main inputs used, cottonseed meal showed the greatest increase, rising by 49.35% compared to the previous year. Corn, the energy base of the diets, increased by 33.98%, while DDG, a co-product of corn ethanol that has been gaining ground due to its good cost-benefit ratio, rose by 20.33%. The increased demand from the ethanol industry helped to put upward pressure on the prices of these ingredients.

The study also identified that the use of price protection mechanisms remained low. Only 4,17% of those interviewed used forward contracts with meatpacking plants, and 3,79% resorted to the stock market. Even after the period of euphoria caused by the taxation of exports, there was no significant increase in the adoption of hedging, indicating a return to normalcy in marketing strategies.

With more positive margins and a structure concentrated in larger-scale feedlots, Mato Grosso reinforces its position as the largest feedlot state in the country. The trend for the coming years points to the continuation of productive intensification, coupled with the advancement of technologies and more efficient finishing systems, both inside and outside the feedlot.

Check out the full report. HERE.