Egypt helps fuel Brazilian beef exports

12 de setembro de 2017

São Paulo – To a great extent fueled by sales to Egypt, beef exports from Brazil had their best result for a month volume-wise since October 2013, the Brazilian Beef Exporters Association (Abiec) said. Foreign sales from Brazil amounted to roughly 145,800 tons overall, up 34% from August 2016.

Revenue increased likewise to USD 607 million, the highest amount since December 2014. In August from July, volume increased by 13.4% while revenue was up 12.8%.

Egypt was a highlight with 23,000 tons of beef bought, up 27.8% year-on-year. It trailed only Hong Kong, which purchased approximately 34,500 tons of beef from Brazil, according to Abiec.

The CEO of the Arab Brazilian Chamber of Commerce, Michel Alaby, recently pointed to a pickup in demand for Brazilian goods in Egypt, especially meats. The hike was compounded by purchases made by the Egyptian Ministry of Defense, which sells beef to end buyers as well as feeding its troops. “These sales to the Ministry of Defense tend to continue,” said Alaby.

By late August, the Egyptian Ministry said it was seeking meat packers to supply 3,000 tons of front-quarter beef, as well as 1 million head of cattle.

The African country’s appetite can help at least partly offset year-to-date results, since beef exports from Brazil to Egypt plummeted by 41.5% from January to August to approximately 83,4000 tons. Revenue drop slightly less at 34% to USD 291.6 million.

Arab countries

Year-to-date through August, beef exports from Brazil edged up by 0.9% to nearly 1 million tons. Revenue was up 6.1% to USD 3.9 billion, according to the Brazilian Ministry of Industry, Foreign Trade and Services.

When it comes to Arab countries, Egypt being the main buyer among them, shipped volume slid by 22.3% to roughly 170,600 tons shipped through August, while revenue slid by 12.8% to USD 646.5 million, according to a survey conducted by the Arab Brazilian Chamber based on figures from the Ministry.

Saudi Arabia was the second biggest Arab buyer of Brazilian beef year-to-date through August. Shipped volume was up 65.2% to approximately 33,800 tons. The UAE ranked third, with imports going up 16.1% to roughly 15,200 tons of beef from Brazil.

*Translated by Gabriel Pomerancblum