May 14, 2021

BRF says Saudi Arabia's revised frozen chicken shelf life rules could affect sales

Lorival Luz, chief executive for major global meatpacker BRF SA, said Saudi Arabia's proposed revised frozen chicken shelf life rules could affect the company's sales in that country, Reuters reported.

The revised rules, communicated by Saudi Arabia to the World Trade Organisation (WTO), would cut frozen chicken shelf life from one year to three months. Luz said the new proposal would disrupt BRF's ability to serve that market.

BRF produces chicken through partnerships with Saudi Arabian companies, and exports products from Brazil to Saudi Arabia.

If the new rule is applied, it would impose logistical issues for local suppliers and exporters from Brazil, France, and the Ukraine.

Patricio Rohner, a BRF executive overseeing international markets, said Saudi Arabia's main port in Jeddah is 1,000 km away from the capital of Riyadh, adding that both domestic and foreign suppliers will need to adjust if the new rule is implemented.

Saudi Arabia had recently banned poultry imports from 11 Brazilian plants without warning or explanation.

- Reuters