MercoPress. South Atlantic News Agency

Brazil allows import of genetically modified soy and corn from United States

With record prices for soybeans and corn, the Brazilian government zeroed the import tariff for these grains from countries outside Mercosur last month.

Brazil has issued a protocol instruction legally authorizing imports of genetically modified (GM) soy and corn from the United States at a time when Brazil is dealing with low stocks and record prices for these products.

According to the press office of the Ministry of Agriculture, the normative instruction recognizes the equivalence of genetically modified products between Brazil and the United States.

The standard seeks to eliminate uncertainties about imports from US, which has transgenic products that have not yet been approved in Brazil, according to experts. US has become potential supplier of grains to Brazil, which faces a shortage of soybeans, mainly due to strong exports to China and in the face of heated domestic demand.

With record prices for soybeans and corn, the Brazilian government zeroed the import tariff for these grains from countries outside Mercosur last month.

The rule was published on November 4, the same week that the US confirmed an export of 30,000 tons of soy to Brazil.

However Brazil soybean imports are expected to be larger from Mercosur partners. From January to September, soybean imports by Brazil totaled 528,000 tons, according to government data. This data highlights Paraguay as the largest supplier, with 521,000 tons. Last year, Brazilian purchases were only 144,000 tons.