The pillars of Brazil’s chicken export ability

Brazil is the world's largest poultry exporter, with 4.2 million metric tons (mt) exported in 2020 to more than 150 destinations worldwide.

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(nd3000, Bigstock)
(nd3000, Bigstock)

Brazil - the third largest broiler producer after the United States and China - produces 13.4% of the world's chicken production. However, in terms of exports, it is the largest exporter, with 4.2 million metric tons (mt) exported in 2020 to more than 150 destinations worldwide.

Only 20 years ago, Brazil exported less than 1 million mt. Today, after several international events, such as avian influenza outbreaks that further consolidated it, it became the world’s largest exporter.

In order for the rest of Latin America to export, the region has to look at the Brazilian case to see what they have done. That is why Ricardo Santin, CEO of the Brazilian Animal Protein Association (ABPA) was the opening keynote speaker of the 3rd Latin American Poultry Summit, within the International Production & Processing Expo (IPPE) Marketplace virtual activities of this year.

His presentation entitled "Redeveloping the poultry export ability in Latin America with the market reopening" was about the wide perspective on why Brazil has become the largest chicken exporter.

The basis of this ability can be summarized in these six pillars or characteristics important to be a great exporter:

  1. Natural resources – having an abundance of water, land and sunlight
  2. Grain availability or proximity to the sources
  3. Integrated production, which allows total traceability leading to food safety
  4. Health status - Brazil is free of avian influenza and Newcastle disease
  5. Flexibility and variety of markets - to complement export markets, whether it is the Middle East, Japan, Europe or Mexico
  6. Investment in technology

The backbone

Integration is the backbone of the chicken exporting industry. The contract producer is responsible for farms and management. They partner with the industry, which supplies chicks, feed, vaccines, veterinary control and processing. "This connects thousands of small local producers to the global business," said the CEO of the ABPA, that has 140 members, including poultry companies and allied industries.

Sustainability and quality

Brazilians also pay a lot of attention to sustainability. Less than 8% of the Brazilian territory is used for agricultural production, whereas 66% of the territory is preserved native forest.

In terms of quality, the system is inspected by the Brazilian Ministry of Agriculture, as well as by the 160 countries where poultry products go. Brazil also has international certifications from autonomous bodies.

But beyond governmental controls, Brazilian poultry companies receive more than 1,000 audits and private visits per year. This requires constant training based on concepts demanded by different markets, such as good manufacturing practices, traceability, national plans for pollutant residues (such as antimicrobials), among others.

Biosecurity plan

As mentioned above, one of the important pillars is the poultry health status. This is achieved by a strict biosecurity plan oriented to all producers, with training courses to improve and take care of the health status.

Another important fact is that together with the World Organisation for Animal Health (OIE), Brazil has developed the compartmentalization system. "Brazil is prepared, as if it had a prevention insurance", said Santin. "Therefore, any country that wants to export, must be prepared for this."

Future challenges and perspectives

Santin was also very specific about the challenges the Brazilian poultry industry is facing now. One of them is African swine fever (ASF), which has changed global trade. Pork production in China is growing faster than expected, as many analysts say, "but remember that when the time comes to producing 54 million mt of pork in 2025 - the level in 2018 - the Chinese population will already require 57 million mt."

According to the U.S. Department of Agriculture, as Santin mentioned, by 2026/2027 Brazil has to increase food production by 41%. It is just a few years ahead. But he said that "all of Latin America can contribute to this."

There is plenty of room to grow. However, Latin America has to grow with the eyes on Asia. It is the region with the highest demand for animal protein and has more population than in the rest of the world altogether. It is a population that grows and increases their income.

Exports future in Latin America

In addition to Brazil, Argentina has exported 155,000 mt of chicken meat and Chile exported 131,000 mt in 2019. But also, Colombia and Peru are starting to export. Even Mexico could export if the poultry health status is improved. "They all have conditions to do so."

The world must have no borders for food. The potential for biomass production, water availability and grain production (or the proximity to it), as well as the availability of arable land and people with a vocation to produce. "These 4 conditions are together in Latin America. We got everything to maintain the world's food security," Santin concluded.

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