Feed prices forced Brazilian poultry and pork producers to ask for help
A list of demands was sent to the federal government of Brazil by the Brazilian Association of Animal Protein (ABPA) and the Union of Industries of Poultry Products of the State of Paranaá (Sindiavipar). Both organizations are asking for immediate support for Brazilian poultry and pork producers as the industry is confronted with a spike in feed prices never seen before.
In the last 12 months, soybean prices have increased by 73%, while corn jumped by 140%. Both are representing about 51% of production costs in poultry farms and the current situation is putting pressure on the industry, according to representatives of the Brazilian cooperatives consulted by Gazeta do Povo. Besides that, the domestic market is oversupplied with chicken meat, as production grew 3.3% in the last year, while the increase in exports was only 1%
“Our costs have gone up a lot and we have no way of passing it on to the consumer, who has lost income and is buying less. We need help to get through this phase ”, highlights Jose Antonio Ribas Junior, vice president of the Union of Industries of Poultry Products of the State of Parana (Sindiavipar).
The sector's demands are: the exceptional authorization to import transgenic corn produced in the United States, for exclusive use in animal feed; the temporary suspension (until December / 21) of the collection of taxes on the import of grains; the temporary suspension of the collection of taxes levied on the cost of freight in interstate grain transportation operations; the expansion of access to credit for the construction of warehouses and storage of corn, aimed at agro-industries and animal protein cooperatives in Brazil; an incentive to plant winter cereals, to be used instead of corn and soy in the feed; and favorable credit lines for corn planting in the summer, with adequate interest and insurance subsidy.
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