As the deadline for the implementation of the European Union anti deforestation law, scheduled for next December 30, (even when it could be delayed), the powerful Brazilian cattle and meat industry is working on the presentation of a pilot traceability and monitoring project for the supply chain to present to the EU.
April 2024 was a historic milestone in beef exports for Brazil having shipped 236,842 tons, generating revenues totaling US$ 1.043 billion, points out Agrilink. Leading the list was China, trailed closely by the United Arab Emirates and Hong Kong, which experienced a substantial 38.9% surge in imports compared to March 2024, driven by increased demand for beef offal.
The impact of a slower Chinese economy has started to be felt in Brazilian exports of proteins, mainly beef with considerable lower prices. Last November and ahead of the stock storing in China for the coming New Year celebrations next February, Brazilian sales increased 47% and reached 256.000 tons compared to 173.000 in 2022, but the overall revenue only grew from 872,4 million of one billion.
Brazil ended 2022 as the largest exporter of beef in the world, according to the Brazilian Association of Meat Exporters (Abisec). In effect, Abisec data showed Brazilian beef exports rose 40,8% rose between January and December 2022 compared to the same period in 2021
The Chinese economy is slowing down, the Yuan is weaker against the US dollar and Beijing is insisting with complete lockdowns in many cities because of Covid 19 or respiratory diseases, reducing considerably activity and consumption.
Brazilian exports of beef during the second half of the year should keep their bullish pace anticipates a report from Netherlands Rabobank, given the strong demand from China, United States, Egypt and the United Arab Emirates, reflected in an estimated 10% tonnage increase over 2021.
The reopening of the Chinese market for Brazilian beef did not stem from technical or communications issues, and the good relationship between the two countries will continue to prosper, reach the pre-pandemic level and advance further, according to Brazil's Agriculture minister Tereza Cristina.
Good and bad news for Brazil's beef exports. China finally lifted the ban on Brazilian beef and allowed the resumption of shipments to the great Asian market. But several of the main retailers in Britain and the European Union have announced the banning of Brazilian beef in their shelves because meat processors are using cattle linked to the Amazon and Pantanal deforestation.
China's Administration of Customs, GACC announced on Wednesday it was authorizing the unloading of Brazilian beef, certified before September 4th., the date when the suspension was caused by the confirmation of two atypical cases of “mad cow” disease in Brazil, (in Minas Gerais and Mato Grosso), became effective.
Russia announced to Brazil that it was reopening its market for a quota of up to 300,000 tons of meat, at zero tariffs, including 200,000 tons of beef and 100,000 tons of pork. Likewise, Russia lifted restrictions on beef exports from a Minerva processing plant and certified a second plant to begin shipments.