Brazil’s Rio Grande do Sul in talks with China for five new export permits

Brazil’s southernmost state, Rio Grande do Sul, has applied to receive five new export permits for poultry production facilities in the state – Languiru (Teutônia), Carrer (Farroupilha), Mais Frango (Miraguaí), Dália (Encantado) and Nova Araçá (Nova Araçá). In addition, the state government is also seeking an export license for a beef production unit in Santa Maria called Frigorífico Silva. In the case of the swine market, the state also requests recognition as a foot-and-mouth disease-free zone without vaccination, which will allow the entry of bone-in pork and offal, expanding the possibilities in the Chinese market.

See below Brazil’s beef shipments to China between Jan 2019 and Jan 2023, according to the DataLiner market intelligence program.

Beef exports to China | Jan 2019 – Jan 2023 | WTMT

Source: DataLiner (click here to request a demo)

Representatives from Rio Grande do Sul are part of the Brazilian delegation currently on an international mission in China since last Friday. Even without President Luiz Inácio Lula da Silva, diagnosed with Influenza A and bacterial pneumonia, the Ministry of Agriculture and Livestock (MAPA) maintained the agenda of meetings and technical visits scheduled until next Wednesday.

“We pushed Mapa’s visit to earlier because we had technical issues to be discussed, mainly related to the release of beef exports, which we have already solved, and other important agreements that will return to the table when the presidential visit is rescheduled,” commented Minister Carlos Fávaro, in a statement released by the Ministry.

As exportações de carne bovina brasileira para a China foram reestabelecidas na semana passada depois que um caso da doença da Vaca Louca foi constatado em fevereiro no Pará.

The secretary of economic development of Rio Grande do Sul, Ernani Polo, notes that the state has achieved, since May 2021, the health status of a region free of foot-and-mouth disease without vaccination, as accredited by the World Organization for Animal Health (OIE). Obtaining recognition from China should help increase the volume of pork exports.

The Chinese pay, on average, US$ 4,000 per ton of pig feet, a market that Rio Grande do Sul still does not have access to. Nevertheless, China plays an important role in the state’s economy, with a share of around 30% of agribusiness revenues in 2022.

Rio Grande do Sul’s participation in the mission also strengthened ties with leaders from other countries in the BRICS group (Brazil, Russia, India, China, and South Africa) to attract investments to the state.

The government of Rio Grande do Sul also wants to open up the Chinese market for Brazilian pecan nuts. Brazil has an annual production of 7 thousand tonnes, of which 3 thousand are available for export.

“China accounts for one-third of world pecan imports, and Brazil does not have access to this commercial possibility,” points out Ernani Polo.

Rio Grande do Sul produces 70% of this good, and entry into the Chinese market would directly benefit the state.

Source: O Globo

To read the full original text, please visit: https://oglobo.globo.com/economia/noticia/2023/03/rio-grande-do-sul-busca-junto-ao-governo-chines-a-habilitacao-de-cinco-frigorificos-para-ampliar-exportacoes.ghtml

Sharing is caring!