April 13, 2011

China's pork market to first allow Brazilian firms for export

China will authorise three Brazilian pork producers to start exporting meat to the country, the world's largest meat consumer for the first time, Brazil's agriculture ministry said Monday (Apr 11).

An announcement from China's inspection and quarantine authorities came at the start of Brazil's trade mission to China this week, during which President Dilma Rousseff will try to convince her biggest trade partner to allow Brazilian companies greater commercial access to Chinese markets.

Chinese inspection officials who were in Brazil five months ago visited 13 of the 26 local meatpackers seeking access to China's pork market, the world's largest.

"We will continue to work so that the rest of the meatpackers will qualify," said Pedro Camargo, head of Brazil's pork exporters association Abipecs.

The opening of access to the Chinese pork market comes after many complaints from local manufacturers about the loss of market share to cheap Chinese imports.

China is Brazil's largest importer of soybeans and iron ore. In the past three years, Brazilian exports to China - principally bulk commodities - have grown 214%, the agriculture ministry said.

As another gesture of widening commercial ties, China said last week it would order jets from Brazil's aircraft maker Embraer.

Camargo estimated Brazilian exports to China could reach 200,000 tonnes of pork a year. Brazil currently exports 540,000 tonnes of the meat today across the globe.

China represents roughly one-half of the world's pork market.

The Chinese officials did not specify which three companies it planned to clear for imports, but Brazil has several large pork processors, such as Marfrig and Brasil Foods.