São Paulo – The Arab-Brazilian Chamber of Commerce (ABCC) is available to help Arab and Brazilian companies maintain the flow of supplies between Brazil and Arab countries, whose trade includes essential products such as food. Some Arab nations, mostly in the Gulf, have been under attack by Iran due to the Persian country’s conflict with the United States and Israel. The Strait of Hormuz, located next to Iran and currently closed, is the main—or only—route for ships to reach countries such as Kuwait, Bahrain, Qatar, the United Arab Emirates, and Iraq.
“We’re always here, ready to help, assist, clarify, and, together, find alternatives. We’re in constant contact not only with Brazilian embassies in the conflict regions but also with the Arab ambassadors who represent in Brazil the countries that have been attacked,” Mohamad Orra Mourad, vice president of International Relations and secretary-general of the ABCC, told ANBA.
Brazil exports food products to Arab countries such as chicken, beef, sugar, soybeans, and corn, among others, while Arab nations supply Brazil mainly with fertilizers—essential for agricultural production—as well as oil. Mourad does not believe there will be a complete disruption or blockade of this trade and says the impact will depend on how long the conflict lasts, which is now on its fifth day.
“Our trade balance is very balanced, in the sense that Arab countries depend on our agribusiness to ensure their food security, while Brazil also depends on oil, derivatives, and especially fertilizers from the Arab world, which make our agriculture more efficient and productive,” he said. In January, trade between the two regions totaled USD 2.6 billion in exports and imports.
The secretary-general says alternative routes are being analyzed to ensure Brazilian products reach Arab markets quickly and without significantly higher costs. Mourad notes that companies with local buffer stocks have advantages in situations like the current one. “If an importer or distributor in Arab countries today has Brazilian products in stock, they can deliver immediately, preventing a break in the supply chain,” he said.
Arab countries such as Saudi Arabia, Bahrain, Qatar, the UAE, Iraq, Jordan, Kuwait, Lebanon, and Oman are being directly affected by the conflict, either as targets of Iranian missiles or through other repercussions—while Lebanon has been attacked by Israel. For the supply of imported goods, some of them have access to the ocean without relying on passage through the Strait of Hormuz: among those mentioned, this is the case for Saudi Arabia, Jordan, Oman, and Lebanon. The UAE also has a small stretch of coastline before Hormuz, in the Al Fujairah area.
Priority
Despite monitoring trade, Mourad says the institution’s top concern is its staff in Dubai, UAE, where it maintains an office. The team met with headquarters on the first day after the conflict began and remains in contact to monitor the situation. “That’s our biggest concern: people,” Mourad said. He added that the ABCC stands in solidarity with Arab countries. “Any kind of aggression against Arab countries, we feel it up close—we feel it personally as well,” he said, expressing hope that the conflict will end soon.
Read more:
Brasil trabalha pela entrega de frango ao Golfo
Translated by Guilherme Miranda
