Brazil-Beef exports.

BRAZIL.

BEEF EXPORTS.

Beef exports from Brazil for the first eleven months of 2008 totaled US$5 billion which was an increase in value of 22.3% on 2007. however the volume of beef exported was down by 14,4% for the same period on 2007.

The main market was Russia which took 38% of the total exports. The shipments to Russia totaled 371,960 tons with a value of US$1.4 billion, remembering that the Russian market only takes the inferior cow beef. The Russian market has been dormant since the start of the global financial crisis in September.

There has been a global increase of 40% in the prices of beef from South America, however it is still well below the world prices as quota’s and subsidies in the north have an unfair advantage over Brazil according to Roberto Gianetti da Fonseca, the president of the Brazilian Beef Industry Exporters Association.

The exports for November dropped by 34% on 2007, with total exports being 83,450 tons compared with 127,200 tons in 2007.December is expected to see an export drop of 75-80% on last year as the trade has come to a virtual standstill.

November and December have seen Russia drop out of the market and Venezuela become the main market, followed by Russia, Iran, Hong Kong and Egypt. The problems in the European Union last January, have been a blessing in disguise according to the president, as the new markets found to replace the EC, are not as susceptible to the world economic crisis being oil producing countries