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SC Meat Exports Reach R$1 Billion In February

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Thus, pork and chicken exports reached US$231 million (around R$1 billion) in February, according to data compiled by the Center for Socioeconomics and Agricultural Planning at Epagri (Cepa/Epagri). This is if the calculation is based on the price close to R$4.30, which was the reality in the middle of the month.

Exports totaled US$150.4 million in chicken and US$150.6 million in pork. This represented US$15 million more than last year. In terms of volume, there were 88 thousand tons of chicken and 35 thousand tons of pork.

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Compared to January, pork prices fell by 12.1% in value and 9.2% in volume. However, compared to February 2019, there was an increase of 7.8% in volume and 37.4% in revenue.

– There was already a forecast of a drop in pork in February, compared to January, which was the month with record revenue, with US$1.4T 91 million, and the second largest volume, with 38 thousand tons. But compared to last year, there is growth, mainly in revenue, which shows the appreciation of pork in the market international. This is because China will continue to demand meat due to the reduction in herds of more than 40%, due to pork outbreaks – said Giehl.

In Brazil, growth was even greater, with 54.6% in revenue, reaching US$154.9 million, and 24.7% in volume, with 54.1 thousand tons.

Logistics

According to the president of the Brazilian Animal Protein Association (ABPA), Francisco Turra, the impacts of the coronavirus on the sector are small so far.

– Specific logistics issues resulting from Covid-19 control measures did not have a significant impact on the final balance of Brazilian exports. Logistical adjustments ensured the clearance of cargo in the Chinese market. The Chinese government prioritizes the transit of food – said the president of ABPA.

Chicken exports from Santa Catarina fell by 29.9% in value and 28.3% in volume compared to February last year. However, they increased by 11.9% and 13.1% compared to January, respectively.

Alexandre Giehl said that in the first half of last year, Santa Catarina exported good volumes, fell in the second half and is now showing recovery. In Brazil, chicken shipments grew 5.2% in revenue, compared to February last year, with US$$ 526 million, and 10% in volume, with 316.7 thousand tons.

Alexandre Giehl said that the rise in the dollar is good for improving profit margins for agribusinesses, but if it persists, it could have a negative effect, stimulating corn exports and increasing production costs. It also makes it more expensive to import inputs and equipment.