In the irish independent farming news today, the state of the brazilian beef export market is analysed. It states that brazilian beef exports fell last year for the first time in a decade and a further reduction is forecast for 2009, Board Bia, the irish meat marketing organisation has predicted. This market information shows that there may be less impact from this third country beef exports this year. The article is in euros because it's an irish article:
The article states:
'According to a report released by the food marketing body, the volume of beef exported by brazil will fall to 2.08m tonnes this year, back from a peak of 2.49m tonnes in 2007.
The news will be welcomed by embattled beef farmers as margins in the sector have collapsed this year, with some finishers claiming that they have lost up to €140/hd on stock carried through the winter.
The fall-off in Brazilian exports is attributed to changes in both production and consumption within the state.
It is estimated that production peaked at around 9.6m tonnes in 2006; however, domestic consumption rose to 6.25m tonnes in 2008. This is up from 4.8m tonnes a decade ago and now accounts for 80pc of production.
The Brazilian beef herd has also reduced in size. Numbers reached a high of 180m head in 2007 but the herd is not expected to hit that level again until mid 2010 at the earliest.
The reduced availability of trade finance, together with slowing demand for meat globally, has also hit the sector. Independencia, Brazil's fifth largest processor, filed for bankruptcy recently.'
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