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<\/a>He explained that it\u2019s more profitable for the industry to sell at broader scales. That\u2019s why China ends up taking the market away from other countries. \u201cSome products are much more operational. For instance: Egypt and some other countries will buy more of the cheaper products, so that will get you working doing one-kilogram packages. And then when you\u2019re deboning you need the staff to do the packing, so [with China] everything flows faster,\u201d he said.<\/p>\n
\u201cAnother thing we\u2019re doing with some countries is supplying the armed forces. Egypt is one of them, and we recently had a tender in Morocco. A market is a market,\u201d he said.<\/p>\n
UAE<\/strong><\/p>\n Year-to-date through November, exports from Brazil to the UAE climbed 135.11% in revenue and 155.23% in volume to USD 246.2 million and 67,900 tons, even though sales have eased over the last three months. The Arab country is the sixth biggest market for Brazilian beef.<\/p>\n \u201cRegarding the UAE, it has always purchased consistently. This increase came because we\u2019re also shipping product to the UAE that goes into Iran via trucks. Much fo sales to Saudi Arabia, Jordan and Turkey also end up in Iran. In the case of the UAE, since Dubai is a free port, you can ship to other countries, like Iraq,\u201d he said.<\/p>\n Saudi Arabia<\/strong><\/p>\n Saudi Arabia was the ninth biggest importer of beef from Brazil, with shipped volume dropping 0.89% to 38,132 tons and revenue going down 30.6% to USD 128.29 million through November.<\/p>\n Camardelli imputed the drop in exports to Saudi Arabia to some changes in paperwork requirements. \u201cWe went to a rough patch since they changed their management processes. We pledged to provide guarantees in the form of different technical analyses. And then you also had a few changes in the certification process. It\u2019s a very interesting country, because it will buy a lot of hind quarter cuts, and that makes for evenly balanced sales,\u201d he said.<\/p>\n The Arab bloc<\/strong><\/p>\n Taken as a bloc, the 22 Arab countries ranked second after Hong Kong. Through November, those countries took in 337.340 tons of beef products from Brazil, up 9,3% year-on-year, with imports amounting to USD 1.1 billion, according to numbers from the Arab Brazilian Chamber of Commerce Market Intelligence department. China\u2019s imports came out to USD 2.17 billion during that time.<\/p>\n Total exports<\/strong><\/p>\n Beef exports from Brazil are expected to end the year at a record USD 7.5 billion, up 13.3% from 2018. Shipped volume is seen climbing 11.3% to 1.83 million tons.<\/p>\n Exports through November hit 1.673 million tons, up 12.3% from a year ago, with revenue climbing 12.6% to USD 6.748 billion.<\/p>\n November-only exports amounted to 179,948 tons, up 13.8% year-on-year, with revenue going up 36.7% to USD 847.54 million.<\/p>\n \u201cBrazil is the only major player today that can provide the volume, the average pricing, the quality, but we could also meet the demand in a much more profitable niche, which is prime beef,\u201d said Camardelli.<\/p>\n Exports are expected to amount to 25% of total production in Brazil this year \u2013 an unprecedented rate, since the usual range is 20% to 22%.<\/p>\n As for next year, Camardelli said prices should level out and find a point of equilibrium between the domestic and international markets. \u201cWe won\u2019t see the same prices as in this November-December spike, but it won\u2019t go back to January-February levels either,\u201d he explained.<\/p>\n The expectation for 2020 is for steady 15% growth in revenue, to USD 8.5 billion, and 13% growth in volume, exceeding 2 million tons, driven by the possible accreditation of additional plants to sell to China, the beginning of sales to new markets, like Indonesia, and the keeping of current markets.<\/p>\n Translated by Gabriel Pomerancblum<\/strong><\/p>\n