April 21, 2021

 

Brazil's ABPA says the US and Ukraine will benefit from soybean and corn tariff waivers

 


Ricardo Santin, president of Brazilian meat lobby ABPA, said the government's decision to suspend import tariffs for soybean and corn will benefit the United States and Ukraine, as two countries could export corn to Brazil as livestock feed, Reuters reported.

 

Santin said the domestic meat sector is looking for alternative corn suppliers and may rely on corn imports as local prices have surged to record highs.

 

BRF SA told Reuters it has imported corn from Argentina recently, although the company did not specify import volumes. BRF is the biggest chicken processor in Brazil.

 

The suspension of grain import duties, covering soybean, soymeal, soybean oil, and corn, will be valid until December 31, 2021.

 

APBA also called on the government to permit US GMO (genetically-modified) corn varieties for import that aren't approved in Brazil if emergency supplies are required, adding that all corn imports will be used for livestock feed only. 

 

The Brazilian association representing domestic corn producers, Abramilho, said they hoped the government would manage the tariff exemption "skillfully."

 

In 2020, Brazil temporarily suspended specific grain import tariffs from countries outside the Mercosur trade bloc. Following this measure, Brazil imported US soybeans, an extremely rare occurrence. That previous tariff suspension for soy ended in mid-January and ended for corn in March.

 

- Reuters