São Paulo – Exports of the 64 companies associated to the Organics Brazil Project grew 176% in 2008, totalling US$ 58 million, against US$ 21 million in 2007. They reached 70 different destinations, in Eastern Europe, Canada, the United States and the Middle East, the main destinations for exports of organics with support of the group.
"We do not yet have official figures about how much each region purchased. Our information is based on figures supplied by certifiers," explained Ming Liu, the executive coordinator of the project. "Last year I participated in two fairs in the Arab market and observed that, mainly in Dubai, the main consumers of organics are expatriates who live in the emirate," he explained. "Another characteristic of region is that it purchases finished products, which is good, as it adds value to exports," he explained.
The products most shipped to the region are coffee and sugar. In the United Arab Emirates, for example, the main importer of organics is Organic Foods & Café, which distributes the products to large supermarket chains and also sells directly to consumers at shops of its own.
Nowadays Brazil is in the third position in certified area of organic products, with 1.8 million hectares, according to the International Federation of Organic Agriculture Movements (Ifoam), only behind Australia and Argentina. "If we consider extractive agriculture, the figure rises to 6 million hectares," pointed out Liu.
According to the coordinator, perspectives for 2009 are still positive, despite the cooling of the global economy. "Brazil is more than just an agricultural producer and harvester of organics. The country is also a supplier of products with high added value, processed and industrialized, and is prominent due to the concept of sustainability in ethnic communities and cooperatives," he pointed out. "The perception of companies is optimistic, as the global demand continues strong. The great question of the year will be prices," he said. "It is hard to estimate the result of foreign sales in 2009, but I believe that they should be around US$ 60 million," he said.
According to Liu, organic products provide a lesson to the global market, on seeking new chances to trade amidst the crisis. "The only way we can overcome the problem is facing it with true actions. Organics are strong and, certainly, should leave this scenery with greater space and credibility. Participation in fairs is very important so that we may find new forms of joining international buyers and Brazilian producers, and expanding our participation in the market," said Liu.
To continue guaranteeing its share in the global organics market, the project should take 32 companies to Biofach, in Nuremberg, Germany, from February 19th to 22nd. For the first time, Brazil is going to occupy five stands at Vivaness Pavilion, turned exclusively to cosmetics trade. This year’s edition should bring together 1,200 exhibitors from 116 countries.
In March, more precisely between the 5th and 8th, five Brazilian producers of organics are going to participate in Expo West, another important fair in the sector to take place in California, USA. The fair should have 3,000 exhibitors this year and expectations are to receive over 50,000 visitors.
The project
Organics Brasil arose to promote Brazilian organic products on the international market, bringing together companies and producers under a single brand. It is the result of joint operation between the Institute for Promotion of Development (IPD), of the Federation of Industries of the State of Paraná (Fiep) and of the Brazilian Export and Investment Promotion Agency (Apex-Brasil).
Since early this year, six new companies joined the project. There are now 70 associated companies, from extractive farming to small farmers, from industries to foreign trade organisations. The most prominent products are drinks, base ingredients for cosmetics, inputs and ingredients from the Amazon (andiroba), exotics (camu-camu, cupuaçu), fruit (assai, guarana, grapes and pineapple), leguminous plants and beef. And the mechanisms for certification and traceability make it possible for the country to expand its export base.
*Translated by Mark Ament
