The Saudi Food and Drug Administration temporarily suspended export authorizations for two of the Brazilian food company’s units. However, the company said it will ship product made at other units.
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Saudi Food and Drug Authority announced on February 10 a temporary suspension of export authorizations for units in Dois Vizinhos and Francisco Beltrão which account for a combined 20% of all poultry supplied from Brazil to the Arab country.
Brazil was not authorized to sell the product to the Arab country since 2013, when the market closed due to one atypical case of bovine spongiform encephalopathy.
The increase in sales to the Middle East, particularly to Arabs, is a ‘pleasant surprise’ for the Brazil’s largest coffee farmers cooperative.
The Arab countries stood out among the Brazilian products’ buyers, purchasing 121,700 60-kg bags of the product in January.
IBGE forecasts a harvest of 246.7 million tonnes in 2020, up 2.2% from a year ago.
Sabor das Índias wants to sell Biquinho pepper to the UAE but plans on breaking into the Arab markets with premium products and an Amazonian line, too.
An outbreak of H5N8 in a Saudi farm was made public this week. According to the Brazilian Animal Protein Association (ABPA), this should not impact exports from Brazil, but sales can be increased if need be.
Morocco already is the Arab country that exports the most fish to the Brazilian market. With the opening, the secretary of Aquiculture and Fisheries of the Ministry, Jorge Seif Júnior, expects to ‘create a more bilateral trade.’
Overall Brazilian poultry exports were up 15%. The Arabs, though, imported 3.5% less year-on-year.
The biggest destinations for fruits including apples, melons, limes and grapes were the UAE, Saudi Arabia, Lebanon and Oman. Total exports from Brazil climbed 16%.
The month saw 17,123 tonnes shipped from Brazil. Revenue was down 27% year-on-year.
Expectation is due to increased production in the Jazan mountains, Southwest of the Arab country, near the border with Yemen.
Arab country increased its grain silo storage capacity by 5.9% in 2019 to 3.6 million tonnes.
