ARGENTINA-THE CATHOLIC CHURCH GETS INTO FARM DISPUTE.
Argentina’s influential Catholic Church yesterday warned that a year-long conflict between the government of President Cristina Fernández de Kirchner and the farm sector over export duties has "altered social peace," while opposition and government officials claimed to have received threats in connection with the dispute.
A holiday yesterday to mark 33 years of a coup that ushered in the bloodiest military dictatorship in the country contributed to ease tensions between farmers who are blocking roads and teamsters who support the administration, as farmers were in the fourth of a seven-day grain and cattle sales boycott supported by nearly 100 road protests in several provinces.
Farmers affected by a plunge in international grain prices due to the global economic crisis and a severe drought at home are seeking to force the government to lower export duties, something that the government is refusing to do alleging that farmers reaped windfall benefits.
BRAZIL-BANK STEPS IN TO HELP THE BEEF SECTOR.
The president of the BNDES, Luciano Coutinho said that the bank was looking at appropriate measures to deal with a problem that was immediate but not systemic.
He said that no specific plan had yet been drawn up but the decision had been made to support the sector and a further information would be made available next month.
According to a report from the Brazilian beef export association ABIEC, the bank president said he could not make comments on specific companies, but he said that the sector was basically healthy and where a company, which was doing good business, but encountered problems, the bank could support it.
The bank president also denied that they had been ordered to take action to support the sector by the President of Brazil Luiz Inácio Lula da Silva.
UNITED ARAB EMIRATES GIVE GREEN LIGHT FOR ENGLISH MEAT.
The United Arab Emirates (UAE) Ministry of Environment and Water has lifted the FMD related transport restrictions for the UK, EBLEX is pleased to announce. The removal of these restrictions has wide reaching implications for quality lamb exports to the Middle East, opening up a previously untapped market for various products including Halal lamb, mutton and offal.
EBLEX’s successful presence at the Dubai ’Gulfood’ exhibition last month has begun to pave the way for a number of business opportunities with potential buyers.
Comments Jean Pierre Garnier, Export Manager for EBLEX: "This marks a major step forward for UK animal and animal product exports to the UAE, and we can now start to apply for certification allowing us to begin trading. EBLEX hopes that this could be the first in a series of FMD related export restrictions to be lifted, which would have incredible implications for our export markets."
ARGENTINA-THE MOTHERS OF PLAZA de MAYO SLAM FARMERS.
The head of the human rights organization Mothers of Plaza de Mayo, Hebe de Bonafini, yesterday said that leaders of the farmers’ associations in conflict with President Cristina Fernández de Kirchner "want to enter government through the back door because nobody would vote them."
Bonafini spoke to reporters during a ceremony to mark the 33th anniversary of the 1976 military coup, held at the Navy Mechanics School, the most notorious concentration camp during the dictatorship.
Regarding the protracted battle between Fernández de Kirchner’s government and the farmers’ associations over grain export duties (see page 4), Bonafini stressed that in spite of what she called their attempts to topple the President "we will fight teeth and nails to defend our democracy."
BRAZIL – A GOOD YEAR FOR MEAT GIANT.
Despite reporting a net loss of US$8.9 million in its fiscal 2008 fourth-quarter, Perdigao S.A. announced gross profits in 2008 amounted to US$ 1.2 billion, a year-on-year improvement of 47%.
The quarterly loss compared to the previous year’s profit during the same period of US$43.6 million, due in large part to Brazil’s weaker currency. However, for the year, gross sales reached US$5.4 billion, an increase of 69% compared to the same year-earlier period. This result reflects good performances in domestic and export markets, both of which reported an increase in sales volume and revenue terms, combined with the consolidation of the businesses acquired by the company.
EBITDA reached US$530 million, an increase of 44.4% over 2007 thanks to strict cost control — helping to offset significant increases in raw material prices — a reduction in expenses and a better product mix largely accounting for the 48.7% share of processed products in total sales.
Exports increased 58% in revenues and 34.8% in volume. Overseas sales were spearheaded by the meats business, representing 97.3% of the total, with the Middle East, Far East, Eurasia and Europe, the leading export markets.
Gross sales to the domestic market reported an increase of 76.6%. Sales volume increased in all segments of the business, meats by 26.3%, dairy products, 305.7% and other processed products, 69.6%. The participation of domestic business as a percentage of total net sales was 56.3%.
RUSSIA-EXPANSION OF MEAT COMPLEX.
Lida meat processing complex is planning to complete reconstruction of the sausage facility by June 2009. The first start-up complex of the workshop has been put into operation in December 2008. New German and Polish equipment has been installed already in the frameworks of the second stage of reconstruction. Investments in the project stand at R 4bn (US$ 1.51mn EUR 1.12mn). The project is financed by proprietary funds of the complex, credits attracted from banks and funds rendered by the Innovation fund of the Grodno regional executive committee. Capacity of the workshop would double, to eight tons a shift, due to the reconstruction. Quality of sausages is to improve and assortment of the products is to enlarge (in particular, the workshop would begin turning out raw smoked and raw charqued sausages) as a result of the reconstruction as well.
The meat processing complex is planning to develop design and budget documentation for reconstruction of the workshop of semi-prepared products. The project may be implemented not earlier than 2010 because of limited financial resources.
The enterprise turned out products for R 15.1bn in comparable prices in January and February 2009, which was by 14.8% more than in the same period of 2008.
UKRAINE-NEW POULTRY PROCESSING PLANT.
The Russian agrarian holding BEZRK-Belgrankorm is holding negotiations on construction works of a poultry meat producing and processing complex in the Poltava region. Capacity of the enterprise of closed cycle is to stand at 50,000 tons of poultry meat annually. Investments of the Belgorod-based agrarian holding in the project are to amount to more than H 1bn (US$ 125.71mn EUR 93.05mn). Implementation terms of the project are to stand at 12 months.
RUSSIA-MEAT INDUSTRY EXHIBITION.
On May 26-28, 2009, the Moscow exhibition centre Crocus Expo is to host the international exhibition Meat Industry & Chicken King. About 300 companies will present their products and technologies at the exhibition. A total of 6,000 people from 67 countries of the world are expected to visit the event. Of the total, 26% will be the managers of the branch enterprises. The exhibition will also include the international conference Meat Meeting 2009 where discussion of the meat industry economy and policy issues is planned.