38 new certified meat production facilities boost Brazil's exports to China

Opening new international trade markets and expanding existing channels have been significant objectives for the Federal Government since the beginning of 2023. Over the past 15 months, Brazil has achieved noteworthy milestones, including the establishment of 105 new markets across 50 countries. This achievement more than doubles the number recorded in the same period of the previous administration, during which 50 markets were opened in 24 countries.

As a result of this progress, China approved the addition of 38 new production units on March 12, 2024, to receive imported meat from Brazil, leading to an increase in the total number of plants from 106 to 144. Among the newly certified facilities are twenty-four beef processing plants, eight chicken processing plants, one beef thermal processing facility, and five warehouses. Together, these approvals are projected to contribute to a 10 billion Brazilian reais (USD 1.96 billion) increase in the Brazilian trade balance over the next 12 months.

We are currently engaged in an active pursuit of expanding into new markets. In the previous year, we achieved a record by opening 78 new markets, and we have since surpassed that milestone by reaching a total of 105 markets
ROBERTO PEROSA
Secretary of Commerce and International Relations at the Ministry of Agriculture and Livestock

SHIPMENT - To underscore the significance of the expansion of meat exports to China, President Luiz Inácio Lula da Silva will attend the finalization of the inaugural shipment of meat to the Asian country from recently certified facilities in Campo Grande, the capital of the state of Mato Grosso do Sul, on Friday, April 12, 2024. The meat will be dispatched from a JBS factory, a prominent global entity in protein-based food production. The event is scheduled to commence at 10 AM local time (11 AM Brasília time), with President Lula being accompanied by Minister Carlos Fávaro (Agriculture and Livestock).

"The Chinese market carries considerable significance for Brazil due to its substantial demand. We are actively involved in broadening our market reach. Noteworthy is our achievement last year in opening 78 new markets. Presently, we have exceeded this milestone, having successfully entered 105 new markets since then," underscores Roberto Perosa, Secretary of Commerce and International Relations at the Ministry of Agriculture and Livestock.

"In the Southwest Asian region, we have witnessed a surge in sales volume. New export plans have been greenlit for Russia, and there's potential for expanding exports to Chile. In essence, a range of initiatives is underway to further enhance opportunities for Brazilian products," concludes the Secretary.

On June 5-6, 2024, Vice President and Minister of Development, Industry, Trade, and Services, Geraldo Alckmin, will participate in a series of meetings in Beijing as a member of the Sino-Brazilian High-Level Commission for Coordination and Cooperation (COSBAN). The principal aim is to enhance bilateral relations with China, encompassing endeavors to broaden market access in the Asian country, which holds the status of Brazil's foremost trading partner.

Markets open for exports from Brazil since January 2023

MATO GROSSO DO SUL – Prior to the implementation of the new certification list, Brazil had 107 processing plants cleared to operate in China, encompassing those authorized for poultry, beef, and pork proteins. In Mato Grosso do Sul, only three meat processing plants were authorized for exporting beef to China. Now, that number has increased to seven.

“Since the beginning of 2023, we have been fully committed to delivering the best outcomes for Brazil, a country with a predominantly export-oriented culture. These results unequivocally contribute to the development and economic prosperity of our country. We are experiencing an unparalleled and unique moment,” states Carlos Goulart, Secretary of Agricultural Defense at the Ministry of Agriculture.

Since the beginning of 2023, we have been fully committed to delivering the best outcomes for Brazil, a country with a predominantly export-oriented culture. These results unequivocally contribute to the development and economic prosperity of our country.  We are experiencing an unparalleled and unique moment
CARLOS GOULART
Secretary of Agricultural Defense at the Ministry of Agriculture

The state of Mato Grosso do Sul has experienced the most significant benefits from these new certifications among all Federal Units. Previously, beef processing plants in Mato Grosso do Sul had the potential to export a volume equivalent to a maximum of 467,000 head of cattle per year to China. With the recent changes, this figure has risen to 2.3 million, reflecting an increase of over 1.8 million head.

STRONGER - This week, Brazil celebrated the opening of the South Korean market to Brazilian exports of animal by-products (such as poultry meal and fats), intended for animal feed. This marks the 27th expansion for the country's agribusiness sector in 2024 alone, a result of integrated efforts between the Ministry of Agriculture and Livestock and the Ministry of Foreign Affairs.

In 2023, South Korea ranked as the eighth destination for Brazilian agricultural products, with exports totaling USD 3.37 billion. According to the Secretariat of Trade and International Relations of the Ministry of Agriculture and Livestock, the opening of the South Korean market aligns with the demand from the Brazilian Animal Recycling Association (ABRA) and its associated companies.

This process also benefits South Korean entrepreneurs, who anticipate an expansion of the Korean food industry to meet the growing number of pets in Asia. The recent conclusion of negotiations regarding the International Sanitary Certificate (CSI) ensures Brazilian establishments the authorization to export these products and reinforces international confidence in Brazil's sanitary control system, which has gained momentum since 2023.

FIVE CONTINENTS -The 105 new markets opened by Brazil since 2023 are spread across 50 countries, spanning the five continents. They reinforce ongoing efforts since the turn of the century and have been characterized by significant growth in Brazilian foreign trade.

During the past two decades, Brazilian exports have experienced a remarkable surge, escalating from USD 58.2 billion in 2001 to USD 339.7 billion in 2023. This substantial growth can be ascribed to several factors, notably the efficient performance of sectors such as agribusiness and mining. Furthermore, the expansion of trade volume with China has emerged as a significant contributor. The partnership with the eastern country has translated into annual purchases amounting to USD 104 billion, representing nearly one-third of Brazil's total exports.

Among recent highlights are: Brazilian cotton trade with Egypt; beef and pork trade with Mexico and Singapore; açai juice trade with India; poultry trade with Israel and Algeria; papaya trade with Chile; rice trade with Kenya; fish trade with Australia, Egypt, and South Africa; egg trade with Russia; and green coffee trade with Zambia.

BANGLADESH, VIETNAM, AND ASEAN – Last year, Brazil exported USD 2.1 billion to Bangladesh, compared to USD 869 million in 2014, reflecting significant growth over ten years. Similarly, in 2014, the Vietnamese market purchased USD 1.6 billion from Brazil. By 2023, exports to Vietnam, one of the ten members of the Association of Southeast Asian Nations (ASEAN), reached USD 3.7 billion.

Over the past two decades, trade between Brazil and ASEAN has expanded exponentially, increasing by a factor of 11. In 2023, exports to Singapore, Indonesia, Malaysia, Vietnam, and Thailand—the five primary markets of ASEAN—reached a total of USD 22.7 billion. Notably, this figure exceeds the combined exports to the five members of the G7 (Japan, Germany, Italy, the United Kingdom, and France), which totaled USD 22.6 billion.