Mexican court suspends Brazilian pork exports, negotiations underway

Mexican courts have temporarily halted Brazilian pork exports through an injunction granted last week. The decision follows a petition by the Mexican Swine Breeders Association, challenging the market opening process conducted by the sanitary authorities of both countries. This process spanned over 20 years and concluded in February of this year.

Roberto Perosa, the Secretary of Commerce and International Relations at the Ministry of Agriculture, flew to Mexico on Tuesday (November 28) to address the issue. According to him, shipments of Brazilian pork worth approximately $60 million are currently at sea, unable to dock at Mexican ports.

The Mexican National Service of Agro-Alimentary Health, Safety, and Quality (Senasica), which is responsible for the sanitary and quality control of agro-alimentary products, has already filed an appeal against the injunction. The decision is at the initial stage of the Mexican judiciary. “We expect the competent court to revoke the injunction, allowing exports to resume,” Perosa stated in a press conference on Tuesday (November 28).

Perosa mentioned that Brazil was taken by surprise by the legal action from Mexican pork breeders, focusing on the Mexican sanitary control authority, Senisca. The association claims that, despite the lengthy acceptance process between the technical authorities of both countries, the documentation for trade clearance and market opening lacks a “certificate” confirming an agreement.

“It has a significant impact. Almost $60 million worth of pork products are already at sea, waiting for authorization to unload in Mexico. Mexican buyers have already paid for a large portion of this. This measure would cause significant losses to Mexican importers,” he explained.

In addition to the legal issue that has blocked pork product shipments since last week, Perosa hopes to negotiate an extension of the tax relief that Mexico applies to Brazilian product purchases. The measure expires at the end of this year, but the government anticipates it could be renewed. “We are optimistic that we will be able to resolve both issues,” the secretary added.

Exports

Ricardo Santin, the President of the Brazilian Animal Protein Association (ABPA), mentioned that before the recent court decision that suspended sales, the national industry was exporting about five thousand tons of pork to Mexico.

The chart below shows Brazilian pork exports to Mexico measured in tonnes in the first ten months of 2023. The data is from DataLiner.

Brazilian pork exports to Mexico | 2023 | WTMT

Source: DataLiner (click here to request a demo)

Santin traveled to Mexico with Roberto Perosa, the Secretary of Commerce and International Relations at the Ministry of Agriculture. He emphasized that it will be up to the Mexican sanitary authority to provide the necessary information in the process, but the Brazilian side is eager to resolve the impasse as soon as possible, as are importers in that country.

“We don’t have the full extent of the decision, but we don’t agree with it. Brazil met all the requirements and was already developing a fruitful partnership, with shipments of about five thousand tons of pork products per month,” Santin said. “We’re going there to understand. The opportunity for Mexico to buy good and healthy meat is being taken away,” he added.

ABPA will also address three other issues. One of them is the request for an extension of the Mexican government’s measure that removes import tariffs for Brazilian pork and poultry.

This topic was discussed in a meeting with President Luiz Inácio Lula da Silva last Friday, Santin said. The tariff relief from Mexico represents an “important and substantial” aid to Brazilian exports.

Another item on the agenda is how Mexico will respond in case of avian influenza in Brazilian commercial farms. ABPA advocates that Mexico does not block purchases from the entire country but only from regions, zones, or compartments.

The national production sector also aims to advance negotiations for Mexico to recognize the states of Santa Catarina and Rio Grande do Sul as areas free of foot-and-mouth disease without vaccination.

Source: Globo Rural

Click here to read the original text: https://globorural.globo.com/pecuaria/suinos/noticia/2023/11/justia-mexicana-trava-exportaes-de-carne-suna-brasileira.ghtml

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