Brazil's pork exports to increase by 3% in 2010

Brazil's hog producers are optimistic that export volumes will increase 3% this year compared to 2009, but projections could be affected by exchange rates.

It certainly will be much better than in 2009 though it is hard to make percentage estimates because this depends a lot on exchange rates, said Pedro de Camargo Neto, president of the Brazilian Pork Packaging and Export Association (Abipecs).

The exchange rate is recovering and this should make the sector more competitive, he said. In January, the real weakened sharply against the dollar, falling in 17 of the 20 trading sessions.

Camargo Neto said he hopes a few markets will open up for Brazilian pork, such as the European Union, China and Japan.

In January, Brazil's pork exports rose 8.2% on the previous month and 11.3% on a year ago, to 34,100 tonnes.

In revenue, pork exports in January increased 13.7% on December and 30.9% on January 2009, to US$83.3 million.

Average export prices, meanwhile, rose 5.1% on December and 17.6% on a year before, to US$2,442/tonne.