May 20, 2004

Brazil Government Uncovers Two More Tainted Soy Shipments For China

Brazilian Agriculture Ministry officials at Rio Grande port have identified two more soybean cargos destined for China that have been contaminated by fungicide-treated seeds.
 
The two ships, the Fortune Lady, booked to carry 59,000 metric tons, and the Daria Preeth, booked to carry 60,000 tons, are barred from loading the full cargo until full test results come through, said Francisco Signor, Ministry delegate in Rio Grande do Sul.
 
"The levels uncovered in preliminary samples are extremely low but since China is adopting a zero tolerance policy, we are checking everything," said Signor.
 
The news comes a week after China temporarily banned Brazilian soybean imports from four trading firms after a similarly contaminated shipment was discovered.
 
China has threatened to ban all Brazilian soybean exports should more contaminated shipments be reported. The threat is of great concern as China is the principal destination for Brazilian soybean exports, importing 6.1 million tons in 2003.
 
Last week, another shipment, the Bunga Saga 10, left for China with a cargo of 56,000 metric tons of soybeans tainted by fungicide at the southern port of Rio Grande. The captain embarked while tests were coming through. The vessel was recalled to Rio Grande but the Agriculture Ministry has no information about when it will return.
 
Signor said he will meet with operators at the port to seek a solution to the spate of contaminated shipments being uncovered.
 
However, he said inspections of warehouses over the last week have shown contamination is fairly rare.
 
"We have been reassured by inspections and are letting farmers know that should they be caught adding seeds to soybean lots, the police will be called," he said.