‘Operation Weak Flesh’ decreases chicken exports in Brazil
A 4 percent decrease in total shipments of chicken meat was recorded in March; pork also decreased 3 percent.
Studies by the Brazilian Association of Animal Protein (ABPA) show that total shipments of chicken meat (considering all products, fresh, sausages and other processed products) decreased 4.1 percent in March compared with the same period last year, totaling 386,400 metric tons against 402,900 metric tons in 2016.
According to the CEO of the ABPA, Francisco Turra, the decline in volume shipped was due, among other reasons, to the decreased sales to markets that placed embargoes on imports in the week following the outbreak of Operation Weak Flesh.
“Shipments of fresh chicken meat to China, for example, decreased by 30 percent over the same period last year. Hong Kong imported 12 percent less,” said Turra.
In revenue, there was an increase of 13.6 percent in March compared with the same period last year, totaling US$661.3 millions this year, against US$582.1 million the previous year.
“The temporary ban of export certificates to certain markets altered the mix of shipments, increasing the presence of products with higher value in the final balance of the month, so that raises the average price per ton," Turra said.
Year to date results are positive, with increases of 3.8 percent in the volumes shipped in the first quarter, compared with the same period last year, with 1,079 million metric tons and 22.8 percent in revenue, USD 1.829 billion.
“The perceived impact on the poultry sector was also noted in the swine sector," Ricardo Santin, the ABPA's vice president of markets, said.