Brazil’s World Cup group stage opponents do not qualify as major trade partners

The countries with which Brazil will play in the group stage of the Qatar World Cup do not stand out in the Brazilian trade balance, just as they do not qualify as major partners to the agribusiness export chain.

The trade volumes stand minuscule compared to the capacity of agribusiness on a global scale.

Serbia and Switzerland are both small countries, though the latter is among the wealthiest nations in the world with an outstanding Human Development Index (HDI).

Cameroon reflects the low dynamics of trade on the poverty-stricken African continent.

One can hope for good match results against all these opponents, but there is little to expect commercially outside of performances on the margin.

Coffee – Brazil’s leading export product to Europe – has a curious history in the Alps that is little known by those outside the field.

Part of what is exported in the form of beans comes back to Brazil as imports, processed in capsules and other formats.

Switzerland, famous for its chemical and pharmaceutical industries, exports (or rather, re-exports) more coffee than its world-wide famous cheeses and chocolates – the latter also produced with Brazilian and Ivorian cocoa.

Both European markets receive chicken cuts, the second most exported item.

As for the nation in Southwest Africa, Brazil sells sugar but in relatively small quantities that disappear faced to international statistics.

Trade

Until October, over 11.2 thousand bags of coffee were exported to Switzerland, generating US$ 3.9 million in revenue. In the same period of 2021,  3.3 thousand bags were shipped for US$ 798.8 million, respectively. For example, Germany spends approximately $1 billion on Brazilian coffee.

Brazil imported more than US$ 60 million of processed coffee.

As for chicken meat, 9.8 thousand tonnes were shipped in 2021 in 10 months.

This year, there was an increase to 15.7 thousand/t year-to-date from January to October, which should raise the average slightly. Exports to Switzerland are only 10% of those to countries outside the European Union, such as the United Kingdom.

Brazil’s trade with Switzerland leaves the South American country largely in deficit, close to US$ 1.5 billion.

According to ABPA data, Brazil exported more chicken to Serbia in 2021 than in 2022, from January to October. There were 618.5 tonnes, compared to 472.4 tonnes last year. It also sent fruit-growing items in the Netherlands triangulated with Rotterdam.

In terms of trade balance, the country had a deficit with the Balkan partner in 2021, driven by imports of mechanical and non-electrical machines.

Source: Money Times

To read the full original article, please access: https://www.moneytimes.com.br/exportacoes-do-agro-cabem-numa-mala-aos-adversarios-do-brasil-na-1a-fase-da-copa/

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