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Minister concludes trip to the Middle East with market opening for Brazilian products
Sep, 25, 2019 Posted by Sylvia SchandertWeek 201940
Between September 11 and 23, Minister Tereza Cristina (Agriculture, Livestock, and Supply) led a mission to the Middle East. The entourage passed through four countries: Egypt, Saudi Arabia, Kuwait, and the United Arab Emirates.
During this period, the minister met with government officials and businessmen. New imports of Brazilian products such as dairy products, fruits, honey, and nuts were announced. Tereza Cristina also met with investors to discuss business opportunities in logistics projects in Brazil, which aim to make agribusiness more competitive.
In 2018, agricultural exports to 55 Arab countries totaled US$16.13bn, representing 19% of the total foreign sales of Brazilian agro. Trade can grow even more with investments and businesses throughout the supply chain, such as machinery, stockpiling, technology, and innovation.
See below for information on the trip to the Middle East:
Egypt
In Egypt, Minister Tereza Cristina announced the opening of the market for Brazilian dairy products. Expected since 2016, the entry of products from Brazil could reach a market of 100m consumers.
The beginning of the process of importation of Egyptian grapes and garlic to Brazil were also announced. Other topics of the meeting were the importation of oranges through Brazil and the sending of goats and sheep.
The countries began negotiations for an agreement between Embrapa and Egypt’s research center. The meetings in Cairo also discussed lower export tariffs and standardization of health certificates.
Saudi Arabia
In Saudi Arabia, Minister Tereza Cristina has finalized agreements that expand the export agenda of Brazilian agribusiness products to the kingdom. SFDA, the Saudi health authority, authorized the purchase of nuts, egg products, and increased access to Brazilian fruits. Together, the products represent a potential market of over US$2bn.
In a meeting with Saudi investors, the minister highlighted the infrastructure investment opportunities in Brazil, such as highways and railroads, which will help make Brazilian agribusiness even more competitive. Investors want more dialogue with Brazilian businessmen to broaden the investment agenda and also mentioned the interest in bringing Brazilian technology to Saudi Arabia.
Tereza Cristina also spoke with authorities about a bilateral agreement on technical cooperation in agriculture and exports to the Arab country.
Kuwait
Brazil may now export honey to Kuwait. During the minister’s visit, the government of that country announced the opening of the market for Brazilian honey, a permit that had been awaited since 2016. To enable the exchange, the government of Kuwait completed the health certification of honey.
The issuing of export certificates and technical cooperation in the area of fisheries and aquaculture were also discussed at the work meetings attended by the minister. According to Tereza Cristina, Embrapa can contribute to this mission, as it has two captive fish research and breeding centers.
Brazilian exports to Kuwait in 2018 were US$209.4m, equivalent to 215,463 tons.
United Arab Emirates
In the last country of the mission to the Middle East, the minister presented opportunities for infrastructure investment in Brazil, aiming to solve bottlenecks faced by agribusiness. During meetings in Abu Dhabi, projects under the Investment Partnership Program were detailed.
Among the projects presented are Ferrogrão and the West-East Integration Railroad, railway corridors that will be important for the flow of grain production and transportation to ports. In March, Brazil and the United Arab Emirates signed an agreement to stimulate, simplify, and support bilateral investments.
In Dubai, the minister attended the seminar of the Arab Brazilian Chamber of Commerce. Tereza Cristina showed the trade and investment opportunities in Brazil. She said there is room for Brazil and the United Arab Emirates to work together.
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