December 30, 2024

Philippines to increase imports of Brazilian chicken and pork amid domestic shortfall

Brazil's chicken and pork exports to the Philippines are projected to rise significantly this year as the Philippines seeks to address its domestic supply shortages by increasing reliance on foreign stocks.

The Brazilian Animal Protein Association (ABPA) estimates that Brazilian pork exports to the Philippines will double, reaching 255,000 metric tonnes (MT) this year, compared to 126,005 MT last year. This growth is attributed to the Philippine government's system accreditation, which allows all exporters registered and accredited by Brazil to ship meat products to the Philippines.

Before the implementation of system accreditation, only 53 foreign meat establishments in Brazil were authorised to export meat to the Philippines. The accreditation has expanded the number of eligible establishments, boosting Brazil's pork exports to the country.

The Philippines has emerged as one of the fastest-growing markets for Brazilian pork in Asia. Last year, it ranked as Brazil's third-largest market for pork products. This year, ABPA anticipates the Philippines will become the second-largest market for Brazilian pork, contributing significantly to the overall increase in Brazil's pork exports, which are expected to reach 1.35 million MT, up 9.8 percent from last year's 1.23 million MT.

ABPA president Ricardo Santin noted expectations for improved export flows to China, alongside expanded shipments to Latin America, Central America, and African countries. He highlighted the Philippines and Chile as key contributors to pre-listing markets driving Brazil's export growth.

Luís Rua, ABPA's market director, emphasised that the system accreditation has not only bolstered export volumes but also improved market competition in the Philippines. Rua noted that the Philippines turned to foreign suppliers to meet its pork needs after African Swine Fever (ASF) decimated the local swine population. ASF, a deadly disease for swine but harmless to humans, has caused the loss of at least three million swine in the Philippines since it was first reported in 2019. The swine industry has suffered an estimated PHP 200 billion (US$3.4 billion) in profit losses due to the outbreak.

In addition to pork, Brazilian chicken meat exports to the Philippines are also expected to rise. ABPA estimates these exports will reach 235,000 MT this year, a 7.3 percent increase from last year's 219,501 MT. On a global scale, Brazilian chicken meat exports are forecast to grow by 3.1 percent, totalling 5.3 million MT compared to 5.139 million MT last year.

Santin mentioned the possibility of new market opportunities in Central America and African countries, alongside increased shipments to Latin American and Asian nations. These developments are expected to diversify Brazil's export destinations for chicken and pork products.

-      The Philippine Star