Brazilian exporters redirect meat orders to China

In connection with a possible atypical case of "mad cow disease", the Ministry of Agriculture voluntarily suspended the supply of beef, as stipulated by the agreement with CHINA. Now Beijing must give the green light to resume supplies, and there is no deadline for that. In 2019, there were 13 days of waiting. There are over 100 days in 2021.

South America's main beef exporter, Minerva, said it will meet demand from China through its three plants in Uruguay and its division in Argentina. At the same time, the company, which recorded a record revenue of 31 billion reais (1 reais = 0.18 euros) in 2022, hopes to maintain its share in the Chinese market. Marfrig will EXPORT products to China from its six factories in two neighboring countries.

China, the main destination for Brazilian beef, accounts for about 60% of the country's exports. Last year, Brazil was also the largest supplier of beef to China, ahead of Argentina and Uruguay, which could now increase their exports to China, while Brazil is forced to limit supplies. The same could happen to Australia if talks to ease Beijing's restrictions on Australian MEAT accelerate.

The suspension of exports is a blow to some of the world's leading meat producers, including JBS SA, Marfrig Global Foods and Minerva SA.