Brazil's pork exports continue to grow

It was already apparent that trade was going well from an analysis by research agency GIRA. The export figures for the third quarter have now been released, which show an even higher export.

In the third quarter of this year, Brazil exported a total of about 254.000 tons of fresh and frozen pork. Compared to the same period last year, this is an increase of 53%. Exports over the first 3 quarters amount to a total of 675.300 tons and are 43% above the level of last year.

Over the first 3 quarters, China was by far the most important destination for Brazilian pork with 54% of total Brazilian exports. Destinations such as Hong Kong, Singapore and Vietnam are also among the major buyers with increasing volumes compared to last year.

Rising prices
In Brazil, pig prices have risen, in contrast to Europe. Meanwhile, the price level has surpassed the European level, according to data from the European Commission. To illustrate: at the end of September, the Brazilian pig price was €1,50 per kilo, while the European price was €1,46 per kilo.

The price increase in Brazil is mainly due to a lower domestic supply. Brazilian feed prices have risen, bringing more pigs to slaughter with a lower weight than usual. This reduces meat production.

Asian interest
In addition, the increasing importance of exports has also caused prices to rise. Demand from Asia in particular has increased further, because a domestic supply shortage has arisen as a result of culling due to the African swine fever. China, meanwhile, is busy recovering domestic production, but is still struggling with new outbreaks.

As the Brazilian price continues to rise, the country will become more price competitive and it is quite possible that China will import the pork elsewhere. Pork exports to China have been stopped due to the ASF outbreak in Germany, which offers the Brazilian market new opportunities. Normally, Germany exports large volumes of pork to China, but China is now looking for these volumes elsewhere.