ThePigSite.com - news, features, articles and disease information for the swine industry

USDA GAIN: Livestock and Products


27 August 2013

USDA GAIN: Brazil Livestock and Products Annual 2013

Post forecasts 2014 production and exports of beef to increase by 2.5 and 6 percent, respectively. This forecast is driven by greater availability of cattle for slaughter, stable domestic cattle prices, and the ongoing depreciation of the Brazilian currency. These factors will likely make Brazilian beef highly competitive in the world market. Pork production and exports are also forecast to increase in 2014 by two and three percent, respectively. Driving forces are lower feed costs due to record soybean and corn crops and higher exports due to the weaker Brazilian real and new export markets. In general, high indebtedness of Brazilian consumers is the main constraint for a smaller growth path for domestic demand for animal protein.

USDA GAIN: Livestock and Products

Commodities:

Animal Numbers, Swine

Production:

Post forecasts hog production to increase by nearly two percent in 2014 to support higher pork exports and a small increase in domestic demand. Hog producers will likely benefit from record soybean and corn crops estimated for the 2013-14 crop year. In addition, government support programs at subsidized interest rates are available to hog producers to mitigate potential increase in feed costs.

Commodities:

Meat, Swine

Production:

Post forecasts an increase of two percent in pork production in 2014. This forecast reflects the current optimism of the pork industry with a continued recovery in export markets and a small increase in domestic demand. Packers are confident of lower feed costs and sustainable hog prices based on larger supplies of soybean and corn at lower prices than in 2012.

Trade:

Brazilian pork exports are forecast to increase by three percent in 2014, mostly due to the depreciation of the Brazilian currency. The following is a brief 2014 outlook for pork exports by major markets:

Russian Federation: Trade sources expect the Russian Federation to continue to be the main importer of Brazilian pork in 2014 with nearly 30 percent market share. The main concern of pork exporters is related to animal health, such as, violations on the use of Ractopamine.

Ukraine: Brazil recently reopened the market and exports are likely to rebound in 2014.

Hong Kong: Traders are optimistic that exports will continue to increase in 2014 and Hong Kong will continue to be the second largest importer of Brazilian pork.

Angola and Singapore: Traders foresee a continued increase of pork exports to these markets.

Argentina and Venezuela: Bureaucracy and import controls are the main problems affecting these markets for Brazilian pork.

Japan: The market was recently opened and first shipments began in August. For 2014, traders believe that Japan will become an important market for Brazil.

New priorities for market access in 2014: South Korea and South Africa.

August 2013

DOWNLOAD REPORT:- Download this report here

Our Sponsors

Partners


Seasonal Picks

The Commuter Pig Keeper - 5m Books