BRAZIL DOUBLES SOY EXPORTS TO HOLLAND IN JAN-AUG 2020

Statistics from the Secretariat of Foreign Trade (SECEX) indicate that Holland became the third-largest destination for Brazilian exports in the first eight months of 2020 by doubling its soy imports and by significantly increasing purchases of oil and fuels.

From January to August, soybean producers in Brazil shipped soy valued at more than US$ 1 billion to Dutch ports, double the amount recorded in the same period last year (US$ 532 million).  Another US$ 834 million of oil and fuel was exported to Holland, the gateway to other EU countries, from January to August, three times more than the same period last year.  According to Welber Barral, foreign trade strategist at Ourinvest bank, the competitiveness of Dutch logistics means that the country is chosen as the point of clearance for products distributed to the rest of Europe.

“The correct thing is to say ‘European Union’. Holland is just the gateway. It is the port, it is the logistics, it is the financial issue. Therefore, we analyze Europe”, observes the specialist, adding that the exports from Holland reach the equivalent of 130% of Dutch GDP since they are products that enter and then leave.

Although shipments to Holland have fallen by 7.5% in the last eight months, the decline is less than that of exports to Argentina which decreased by 25.4%, mainly due to the stronger impact of the pandemic on the trade of Mercosur partners.

See the chart below for a history of Brazilian exports to Holland and other European Union countries:

Brazilian Soy Exports to Holland vs. Other European Union Countries | Jan 2017 to July 2020 | WTMT

Graph source: Dataliner (To request a DataLiner demo click here)

Article source: Estadão Conteúdo

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