Brazil could benefit from plant closures in the US, says association

The closure of meat processing plants in the United States, due to the coronavirus pandemic, could benefit Brazil, according to the executive director of the Brazilian Animal Protein Association (ABPA), Ricardo Santin, in an interview with Canal Rural.

According to him, this impact would be indirect, since Brazil does not export chicken meat to the United States and pork sales to this market have a relatively low flow, compared to other destinations.

“It is necessary to consider, however, that with the prioritization of the domestic market, the United States could open a gap in the supply of products to China, which could boost Brazilian sales to that destination”, he assesses.

Santin highlights that China is currently the main import market for poultry and pork in Brazil. “The Chinese imported 167.4 thousand tons of chicken meat from Brazil in the first quarter, a volume 47% higher than that recorded in relation to the first quarter of 2019.

 In revenue, the increase is 55%, with a total of US$ 345.3 million. In pigs, the volume exported by Brazil to China in the first quarter reached 97.4 thousand tons, a volume 190% higher than that recorded in the same period of the previous year. In revenue, the increase reaches 274%, with a total of US$ 255.8 million”, he points out.

According to Santin, ABPA's assessment is that the pork and chicken sectors could be the most influenced by the closure of North American plants, even though this issue ends up impacting all animal protein sectors in general.

Source: Industrial Pig Farming

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