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THE PHILIPPINES LIFTS EMBARGO ON IMPORTS OF BRAZILIAN CHICKEN

Sep, 08, 2020 Posted by Ruth Hollard

Week 202037

According to Bloomberg and based on data from the Philippine Department of Agriculture, on Tuesday, Sept. 8, the Philippines lifted the embargo on chicken meat imports from Brazil.

The measure came after the Brazilian government showed that the production chain is adopting preventive measures against Covid-19. The Asian country will, however, demand that chicken meat packages have seals that guarantee that the product has been handled in factories that follow strict sanitary and hygiene measures. Cargoes that do not meet the requirement will be confiscated.

 

The Philippines had suspended purchases of Brazilian chicken meat on August 14, after a Chinese city detected traces of Covid-19 in cargo arriving from Brazil.

 

DataLiner data shows that from January to July 2020, the Philippines ranked 12th for Brazilian chicken exports, with a 2.15% share. According to Bloomberg, Brazil accounts for 20% of the Philippines’ annual chicken imports.

 

Beef Exports Break New Records

 

Data from the Foreign Trade Secretariat (SECEX) compiled by the Brazilian Refrigerators Association (ABRAFRIGO) shows that Brazilian beef exports (fresh and processed) totaled 191,100 tons in August 2020, 19% more than year-ago levels. Sales rose 14%, to US$ 753.2 million. The results set new records for August.

 

In the first eight months of the year, shipments reached 1.294 million tons, compared to 1.159 million in the same period in 2019. Revenue for the period reached US$ 5.4 billion, 23% more than year-ago levels (US$ 4,4 billion).

 

China remains the main destination for Brazilian beef, importing 62.4% of Brazil’s beef, taking into account the inflows from the continent (530,500 tons) and Hong Kong (212,260 tons). In the period from January to August 2019, 448,000 tons, or 38.6% of the total, were exported to China.

 

The second main destination for Brazilian beef from January to August was Egypt (91,500 tons, down 25.4% compared to year-ago levels), followed by Chile (50,400 tons, down 34, 2%) and Russia (43,200 tons, down 4.6%).

 

ABRAFRIGO projected that in view of export history, the monthly growth rate until the end of the year should exceed 12%.

 

The graph below shows the history of Brazilian monthly exports of beef, chicken, and pork since 2017:

 

Brazilian Exports of Poultry, Beef, and Pork | Jan 2017 to July 2020 | TEU

Graph Source: DataLiner (To request a DataLiner demo, click here)

Report Source: Valor Econômico

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