China will conduct online inspections of Brazilian refrigerators

Chinese auditors are due to start evaluating four Brazilian beef producing units on Thursday as part of their effort to approve new exporters amid an outbreak of African swine fever in the Asian country, said two sources to Reuters.

One of the plants belongs to Marfrig and is located in the city of Várzea Grande, Mato Grosso, according to both sources. A third source confirmed the date of the inspection, which will be conducted using video technology, but not the number of plants involved.

The sources spoke on the condition of anonymity, because the inspections are not public information. The Brazilian Ministry of Agriculture and Marfrig declined to comment on the information.

According to Valor, videoconferencing inspections do not require on-site audits and have been tested since July. Chinese technicians have adopted this process in poultry slaughtering units a little over a month ago, but have not yet sent a report of their impressions to Brazil. The same model should be used for pig unit inspections.

Mainly driven by China, Brazil recorded a 14.2% jump in beef exports in the first eight months of 2019, according to data compiled by the Brazilian Beef Exporters Association (Abiec) based on government information.

Volumes reached 1.13m tons during the period, while revenues from beef shipments jumped 7.5% to US$4.3 billion, Abiec said on Wednesday (09/04).

Three of the plants selected for inspection are located in Mato Grosso, and one in Mato Grosso do Sul. According to two of the sources, three of the plants belong to companies that are not listed on the stock exchange.

China is currently considering providing export permits to more than 30 refrigeration units in Brazil, according to Abiec and the Brazilian Animal Protein Association (ABPA).

Last month, Agriculture Minister Tereza Cristina postponed a trip to China originally scheduled for August, as industry groups said pending export approvals to the Chinese were taking longer than expected.

Sources: Reuters and Valor

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