Thursday, May 16, 2013

Scarce wheat flour makes in the country

The chronic Brazilian imported wheat dependency became a bigger problem this year. The milling industry was caught in a minor domestic production had counterparts and largely committed to advance export contracts. In MERCOSUR neighbors, traditional suppliers, the supply has dried up and now the option is to bring the cereal of the United States. For some Mills, the Bill is coming out 10% more expensive, even with the exemption from the common external tariff (TEC), granted by the Government to import 2 million tons until July 31.
In 2013, the internal wheat prices are already 37% higher. From r $ 538 per tonne in 2012, the average price of corn jumped to $ 741 this year as bookmark Cepea/Esalq (Paraná). A large part of this increase has come to flour, raw materials for bread, pasta and biscuits. According to the Brazilian Wheat Industry Association (Abitrigo), the average price of the derivative is now 25.5% in 2012.
With higher cost, breads and pasta has already begun that adjustments must reach 10% by June, says Cláudio Zanão, President of Abima, association representing the industry of pasta, biscuits and breads. In 2012, the prices of these items already were, on average, 15% higher for the consumer, due to escalating prices of wheat in the second half of last year, says Zanão. "Of course, every company has their transfer policy. Some retain adjustments to gain market share, "he says.
The point is that there is, at this moment, expectation of wheat prices retreat. At least until the entry of the crop of Paraná, starting in August, the country will have to get cereal in the United States.
The Brazil consumes 10 million tonnes of wheat per year, but usually only produces 5.5 million. In 2012/13, the harvest fell 25% to 4.3 million tons, of which 1.5 million were exported. Domestic small remaining 2.8 million. So, according to Conab, the forecast is to import 7 million tons in the cycle that ends in August.
"Stocks in the country are virtually zero. The alternative is to seek American cereal. But only loads arrive after 30 days and cannot enter the country right away, "says the President of the wheat industry Union of São Paulo, Christian Saigh. According to traders, in recent months, the average time delay in the unloading of ships with wheat in the port of Santos (SP) has been of 50 days. "There are only three mooring cradles for the cereal, when needed would be at least six COTS", says Saigh.
In addition, the interior of Parana, Mills used to bring wheat from Paraguay by road, have to pay freight costs from the port to the interior of the State. "From the port of Paranaguá (PR), the American wheat has to travel 500 miles up the interior. On the Rattlesnake, for example, enough for about $ 800 a ton, without the recovery of the TEC. At the port, the cereal reaches R $ 720 ", compares the President of the wheat industry Union of Paraná (Sindustrigo), Marcelo Vosnika.
The Paraná cereal harvest has already reached 3.3 million tonnes in 2010/11, which spurred the expansion of the local industry, today with similar volume, process condition for a crop that shrank to 2.1 million tons. "We were importing of Paraguay, but the offer was quickly there. That is why we are with high idle. The grind is on 2.6 million tons, "says Vosnika.
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