Meat exports can grow with recognition from China, says Barral
China's decision to recognize Brazil as a foot-and-mouth disease-free country could facilitate the certification and qualification processes of Brazilian slaughterhouses to export beef to the largest buyer of the product in the world. The assessment was made by Welber Barral, a specialist in international trade and former Secretary of Foreign Trade, in an interview with CNN Agro News.
According to Barral, the Chinese recognition comes after the declaration of Brazil as free from foot-and-mouth disease, which was already being followed by other countries, especially smaller markets in Africa and the Middle East, for example.
"The great historical fact was that Brazil was declared free of foot-and-mouth disease. From then on, several countries began to recognize this status. The good news now is that China, which is the largest buyer of Brazilian meat, also recognized it, and this will facilitate the process of certification and qualification of slaughterhouses so that Brazil can export more to that market", he stated.
According to the expert, the new scenario could mainly benefit states in the North and Central-West regions, which will now have more opportunities to participate in the international beef trade. Previously, Santa Catarina was the only Brazilian state internationally recognized as free of the disease without vaccination.
Barral also highlighted the expectation that other countries will also recognize the new Brazilian health status. However, he noted that China maintains limits on beef imports from Brazil.
"Last year, China imported more than 1.6 million tons of Brazilian beef and, this year, the quota is around 1.1 million tons. Brazil still has a large export capacity and this quota could be exhausted before the middle of the year," he said.
For the expert, health recognition could also favor the expansion of Brazilian sales to other Asian markets, in a context of increased income and protein consumption in the region.
"These health barriers end up creating many obstacles for Brazilian exports, and declaring the country free of foot-and-mouth disease frees up access to these markets," he said.
Barral also defended the diversification of destinations for Brazilian beef exports. According to him, expanding markets can help the sector maintain export levels in the face of possible limitations imposed by specific buyers.
When commenting on Chinese restrictions on imports, the expert stated that the measures are not aimed exclusively at Brazil. According to him, the Asian country faces pressure from local producers, which could result in the adoption of tariff and non-tariff mechanisms to regulate foreign purchases.
"It is not an action against Brazil specifically. China is a large importer of meat, but local beef production is not competitive. There is protectionist pressure on the part of Chinese producers, which ends up being reflected in tariff or non-tariff barriers. It is part of international trade. The important thing is to monitor these measures, defend oneself and prove the quality and health of Brazilian meat", he concluded.
Source: CNN