Thursday, February 25, 2016

Bovine meat in natura closer to the USA

The release of Brazilian exports of fresh beef to the u.s. should occur from April, after the visit of a team from the Ministry of Agriculture of Brazil to that country for health inspections and checks on the American standards of production. According to information from Washington and Brasilia, the first shipments could happen this semester.
The mutual release of fresh beef trade was hit during visit of President Dilma Rousseff to the United States in mid-2015. The u.s. Department of agriculture (USDA) has sent a team to Brazil to do the necessary inspections, but has yet to send to the Brazilian Ministry of agriculture a questionnaire with a series of additional questions about the national system of monitoring and inspection. The Mission of the Ministry of agriculture goes to the us after that. At the same time, said a source from the Ministry, the two countries negotiate a model health certificate for making bilateral trade.
The Brazilian private sector understands that it will be possible to sell annually to 100 1000 tons of fresh beef to the u.s. in five years, but the USDA projecting that, on average, will be 40 1000 tons per year. The Brazilian Association of Meat exporters (Abiec) estimates that if the opening take place until June, exports could reach 30 1000 tons, or slightly more than $ 100 million, in the second half of 2016. In total, Brazilian exports of fresh beef totaled 1.1 million tons and earned $ 4.7 billion last year.
When opening, Brazil will compete for a slice of 65 1000 tons which is aimed at a group of countries that do not have specific quotas or preferential rates for export to the United States.
According to the USDA, are entitled to export fresh beef to the u.s. without taxing Mexico, Canada, Uruguay, Chile, Costa Rica, Honduras, Nicaragua, Japan, Ireland, Lithuania, New Zealand and Australia. Some of these countries have minimum export quotas and, when limits exceed pay rates.
In the case of Australia. The country has a quota of 418 1000 tonnes per year and pay a rate of 21.1% of the volume that exceeds this amount. The Uruguay, in turn, can export 20 1000 tons without the incidence of tarifa, but above that pays a fee equivalent to 26% of the amount sold. The South American country usually exceed this limit and has reached export 200 1000 tons per year. It is estimated that the same could happen with Brazil.
One of the points in favour of Brazil is that refrigerators in the country already sell beef processed to the Americans. With these trading channels active, it is possible that sales of fresh meat are settled more quickly. And these refrigerators should also be benefited by the appreciation of the dollar, which encourages exports.
Another plus point of the opening of the American market is in the midst of the economic crisis in Brazil, the domestic producers will have a huge market to explore, in addition to having the possibility that new markets to be opened after the seal of the United States, which is a reference to several countries.
Currently, the us matter 1.5 million tons of fresh beef per year, and the trend is increasing. In 2011, for example, were imported 933 1000. American product exports already amount to about of 1 million tons per year, according to the USDA. In this context, the American opening can help Brazil to reverse the fall in its exports of beef, which last year fell 19.5 percent in value and 12.1% in volume.
Americans are the largest producers and consumers of beef. In 2015, produced 10.9 million tons, almost a fifth of the world''s total, and consumed 11.4 million, also a fifth of what is consumed in the world. In the country, the preference is for low-fat meat, which can be used in the production of hamburgers-one of the most popular dishes of the Americans.
The opening of the meat trade with the USA will benefit 13 Brazilian States (Bahia, Espírito Santo, Goiás, Mato Grosso, Mato Grosso do Sul, Minas Gerais, Paraná, Rio Grande do Sul, Rondônia, Rio de Janeiro, São Paulo, Sergipe, Tocantins) and the Federal District.
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