São Paulo – Brazil exported 45,626 tonnes of honey in 2020, up 52% from 2019. What could account for this? “The increase in demand for bee products is believed to be related to the coronavirus pandemic, as people across the world have developed new healthy food habits, which is made clear by the increase in demand for organic honey and propolis from Brazil,” said Brazilian Association of Honey Exporters (Abemel) administrative manager Suelen de Palma Tomazella.
She believes one of the drivers for this growth in exports is the impact of the pandemic on the Chinese market, particularly on a first date. China is the world’s top honey exports, and the pandemic led exports from the country to be discontinued for a while, and the demand moved to other producers, such as Brazil.
Another explanation is its explanation of a healthy natural food that could strengthen the immune system to top it off. Despite not knowing if the demand will remain after the COVID-19 situation, Abemel is optimistic. Brazilians have noticed the consumer habits of regular honey consumers such Europeans and Americans and seen a trend that the food product could establish itself in more mature markets and Brazil.
Healthy sweetness
The new food habits driven by the pandemic have contributed especially for an increase in consumption at home. “Consumers have spend most of their time at home, making it possible to choose higher-quality products for their family instead of products offered at food services,” she observed.
Health-related products attracted particular attention, such as organic honey and propolis extract from Brazil. According to Tomazella, scientific studies have even showed that propolis strengthens the immune system and could help preventing more serious symptoms, which has boosted demand.
In 2020, the association noticed that the global demand grew and drove up international prices. Simultaneously, the dollar has climbed high compared to real. “This has leveraged the honey price from our market. Currently, over 80% of the price of the exported kilo goes for the farmer. The increase in exports reflects an output increase, as many farmers have invested in their honey production to meet the demand. Over the period, there’s been an incentive for the propolis production, too,” she stressed.
Opportunities in the Arab and Halal market
Exports from Brazil are still mostly concentrated in the United States, which accounts for 75% of the market, and Europe. “I’m sorry to say the Arab countries are not among the top consumers of honey from Brazil. That’s certainly a major opportunity for the Brazilian honey, as the honey consumption in the Arab culture is very high,” said Tomazella.
In 2020, Oman, the main Arab destination of honey from Brazil, imported only 61 tonnes. Abemel’s manager believes the United Arab Emirates is a country that has played a major role in drawing attention to the Arab market. The nation has hosted events, industry shows and trade missions on the segment. “Last year, the pandemic disrupted many plans. However, as soon as we get back to normal – and we are sure this will happen soon – our presence in these countries could potentially generate many deals,” she said.
Although many markets demand Halal-certificated products, the cost is still an obstacle for exporters. “It’s important to stressed that, although the Middle East is a market with a great potential for the Brazilian honey, the Halal certification costs are still very high, which often makes it impossible for the businesspeople to get a certificate with their current profits,” the association’s manager said.
Domestic consumption
Last year’s factors keep driving Brazil’s honey production for the foreign market. However, the domestic demand is believed to have increased over 2020.
But Tomazella believes the major issue is the long term. Honey consumption is historically low in Brazil. “Global honey consumption per capita revolves around 220 grams per habitant a year. In Europe, it’s around 1-1.5 kg per person a year, while in the US it’s around 600 g per habitant a year. In Brazil, this number is under 60 g per person a year. That’s an extremely low consumption, and there’re many reasons for that. Seen as the world’s best honey producer, Brazil should pay more attention to increase its domestic consumption,” argues the Abemel’s manager.
Translated by Guilherme Miranda