Agreements between Brazil and China for Agriculture Could Boost the Country’s Position in Global Export Rankings

Of the 37 agreements signed between Brazil and China during Chinese President Xi Jinping’s official visit to the country last Wednesday (20), six are directly linked to the Ministry of Agriculture and Livestock (MAPA), and others are related to the sector. However, the impact of the recent Sino-Brazilian meetings goes beyond the protocols signed during this period.

With the General Administration of Customs of China (GACC), MAPA signed four phytosanitary protocols, opening the Chinese market to fresh grapes, sesame, sorghum, fishmeal, fish oil, and other fish-derived proteins and fats for animal feed. These new markets add to the one that opened in June this year when China approved sanitary requirements for importing Brazilian pecans. The commercial potential could reach up to US$500 million annually.

Beyond facilitating access to a diversified range of Brazilian products cultivated in various regions of the country to a market of over 1.4 billion people, opening these markets stimulates the country’s agricultural production. This has the potential to elevate Brazil to the top position as a global exporter, as seen this year when the country surpassed the United States in cotton exports.

In addition, the agreement brokered by the Brazilian Export and Investment Promotion Agency (ApexBrasil) and the Ministry of Development, Industry, Trade, and Services (MDIC) with Chinese coffee chain Luckin Coffee, signed last Tuesday (19), stands out. The deal involves the purchase of 240,000 tons of Brazilian coffee from 2025 to 2029 in a contract estimated at US$2.5 billion.

This initiative is the result of meetings held by Vice President and Minister of Development, Industry, Trade, and Services, Geraldo Alckmin; Minister of Agriculture and Livestock, Carlos Fávaro; and the president of Apex, Jorge Viana, in China last June, during the High-Level Sino-Brazilian Commission for Consultation and Cooperation (Cosban). At that time, the first agreement was made with the coffee chain for the sale of 120,000 tons of coffee worth US$ 500 million.

This contract alone is worth more than six times the value of coffee exported to China in 2022, which was US$ 80 million.

During the Chinese president’s official visit, a Memorandum of Understanding was also signed for exchange and collaboration on pesticide technology and regulation between MAPA and China’s Ministry of Agriculture and Rural Affairs, as well as a Letter of Intent with China’s State Administration for Market Regulation (SAMR) to promote technical, scientific, and commercial cooperation in the agricultural sector.

A Memorandum of Understanding was also signed between China’s Media Group (CMG) and the Brazilian Confederation of Agriculture and Livestock to promote Brazilian agriculture.

Since the beginning of his term, Minister Carlos Fávaro has conducted two ministerial missions to China, and the Asian country is the only one with two agricultural attaché offices in Brazil.

The good relationship led to significant progress in the certification of meatpacking plants. Eleven plants were re-authorized to export to China, and Brazil gained an additional 38 certifications. The Chinese market is the main destination for Brazilian fresh beef, accounting for 51.6% of exports of this product.

Due to the renewed diplomatic ties between the two countries under President Luiz Inácio Lula da Silva’s administration, China’s established position as Brazil’s main agricultural trade partner has strengthened. In 2023, Brazilian agricultural exports to China reached a record US$60.24 billion, representing an increase of US$9.53 billion compared to the previous year

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