Still high, Brazilian dairy product imports are declining

Brazilian imports of dairy products fell for the second consecutive month in November. Government data indicate that 152.8 million liters of milk equivalent were imported in the month, a drop of 11.3% compared to October but an expressive 79.1% above November last year. From January to November 2022, Brazil imported 1.179 billion liters of milk equivalent, 21.4% more than in 2021.

The dairy product most imported by Brazil was powdered milk, totaling 125.2 million liters in milk equivalent, with a decrease of 9.3% compared to October/22 but an increase of 136.3% compared to November 2021.

Argentina and Uruguay were Brazil’s leading suppliers, adding together 223.5 million liters and representing 92.8% of the total imported by the country.

According to Brazil’s foreign trade secretariat Secex, exports totaled 6.2 million liters of milk equivalent in November, representing a 25.3% increase in the monthly comparison but a 12.4% decline year-on-year.

See below the track record of exports and imports of Brazilian dairy products (hs codes 0400-0406) in containers from January 2019 and Oct 2022. The data is from DataLiner.

Brazil dairy exports and imports | Jan 2019 – Oct 2022 | TEU

Source: DataLiner (click here to request a demo)

From January to November 2022, foreign purchases of dairy products amounted to 124.9 million liters of milk equivalent, 15.4% less than in 2021. However, in November, foreign sales of cheese (which represented 51.4% of total exports) increased by 61.4%, totaling 3.2 million liters of milk equivalent – with emphasis on the growth in shipments of fine cheeses (moldy cheeses) and mozzarella (unripened).

The main destinations for Brazilian cheeses were Russia (31.7%), the United States (20.1%), Argentina (14.2%), and Taiwan (14.2%). Despite the month-on-month drop of 22.8%, condensed milk shipments still represented 18.8% of the total exported by Brazil in November. They were destined for Chile (25.8%), Paraguay (22%), Argentina (13% ), the United States (10.1%), and Cuba (9.7%).

In third place were sales of powdered milk, which totaled 689,000 liters of milk equivalent in November – a volume almost 14 times greater than October/22 – and represented 11% of the total sold across the country.

Powdered milk sales came in third place, totaling 689,000 liters of milk equivalent in November, nearly 14 times higher than on October/22 and accounting for 11% of total sales across the country.

Trade balance

With the drop in imports and the increase in exports, the deficit in the Brazilian dairy trade balance has decreased. However, in terms of revenue, the ratio grew by 16% from October to November, reaching a negative US$ 72.1 million.

The deficit was 12.3% smaller in volume, totaling 146 million liters of milk equivalent.

Source: O Presente Rural

To read the full original article, please go to: Importação brasileira de derivados lácteos recua, mas segue em patamar elevado – O Presente Rural

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