Mar 12, 2010

U.S. Could Approve Pork Imports From Brazil

Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.

Pork producers in the state of Santa Catarina in southern Brazil may be one step closer to being able to export their products to the United States. In order to export pork to the United States, an area must be declared free of foot and mouth disease by the World Organization for Animal Health and the meat processors must meet the rigorous sanitation standards set fourth by the USDA. It appears that those conditions have been achieved in the state of Santa Catarina and within two months the USDA is set to hold public hearing on the matter. If all proceeds well, Brazilian pork imports could be approved by the United States by the end of 2010 or early 2011.

If approved, it will be the culmination of a ten-year effort by the Brazilian pork industry to meet the highest standards set by the major importing countries. Brazilian producers do not expect to export much volume of pork to the U.S. due to the strong U.S. pork industry and the fact that significant pork imports already flow into the U.S. from Canada and Denmark. Meeting the rigorous standards though set by the U.S. could help Brazilian producers eliminate sanitation barriers put in place by other countries and open the door to increased pork exports.

According to the U.S. Department of Agriculture, in 2008 the U.S. imported 238 thousand tons of pork from Canada and Denmark at a total value of US$ 761 million. During the first half of 2010, Brazil is expected to export 75.4 thousand tons of pork. The principal buyers of Brazilian pork are Russia (44% of the total), Hong Kong (27% of the total), Ukraine (6% of the total), and Argentina (6% of the total).