Brazilian pork gets a larger market share in China


The exports have increased by almost 25% compared to H1 2018 due to the ASF situation and the trade war with the US.

Posted on Aug 02 ,05:13

Brazilian pork gets a larger market share in China

China has imported more Brazilian pork in the first six months of the year, according to the Brazilian Association of Animal Protein (ABPA). 346.600 tonnes of pork worth $699.7 million were shipped from Brazil to China in the first half of the year.
Compared with the same period of 2018, Brazilian pork exports to China have increased by 23.4% in terms of value and by 24.5% in volume. The outlook shows that exports can increase further, as China's demand for pork is expected to grow in the second part of 2019.
The beef industry is also capitalizing on China's need for pork, with a 50% increase in exports al over the world. "There is a clear replacement of swine meat for other meat. All the countries combined cannot supply what China needs of swine meat," believes Francisco Turra, president of the ABPA. Since the beginning of the year, the Brazilian government has started negotiations for 50 more processing facilities of pork and poultry to receive clearance to export to China. The current number of processing units that are allowed to export in this market is 28.

According to a Rabobank analysis, exports are increasing, driven by Chinese and Russian demand, although pig producers remain skeptical about whether this represents a structural return to growth. "Domestic pork prices are rising, as exports are outpacing production growth. If internal consumption picks up in 2H 2019, this will provide further support for prices," said the analysis.

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