MAJOR Brazilian meat processor Minerva SA has received clearance for two of its plants to export fresh beef to the US.
The authorisation applies to Minerva Foods’ plants in Barretos city, which has a capacity of 840 head/day, and in Palmeiras de Goiás city, which has a capacity of 2000 head/day).
Writing in the Comm Bank’s Agri Commodities Daily Alert, Tobin Gorey said Brazil would be added to the US imports list, and ship product under the shared ‘others countries’ quota of 64,800 tonnes per year
Brazil will share the US ‘other countries’ quota with Chile, Costa Rica, El Salvador, Honduras, Nicaragua and the Dominican Republic.
“A small start, but one that indicates the wheels are now well in motion for Brazil to slowly make inroads into the US market,” Mr Gorey said.
Australia has its own 418,200 tonne a year US quota.
Meat and Livestck Australia said from 2017 onwards Brazil expects to be a low-cost competitor to countries including Australia, supplying lean manufacturing beef for further processing, including hamburgers, into the US. CLICK HERE for more details.
According to its website (CLICK HERE) Minerva Foods is one of the leading producers and sellers of beef, leather, live cattle exports and cattle byproducts in South America.
“Minerva is among Brazil’s three largest exporters, selling its products to some 100 countries, as well as processing beef, pork and poultry products,” the website reads. “Minerva’s history pictures its consistent, sustainable growth over the years. The company’s growth is intertwined with the history of cattle raising in Brazil. The Vilela de Queiroz family was an active participant in the development of the sector in the country, being recognised for excellence in raising and transporting cattle.”
The US and Brazil reached agreement earlier this year giving Brazil access to the US for fresh beef, and to US beef and beef products to enter the Brazilian market for the first time since 2003. The decisions reflected a recognition that Brazil's food safety system was equivalent to that of the US, and the negligible risk classification for bovine spongiform encephalopathy (BSE) by the World Organization for Animal Health (OIE).
Meanwhile, Australian spot cattle indicators had a mixed Wednesday, Mr Gorey said.
“Export cattle prices generally closed a touch weaker as Australian traders are under continued pressure to lower their asking prices in order to attract bids on the US market,” Mr Gorey said.
“Australian basis is a little lower this morning as a result, with imported 90CL beef trading at around an A8c/kg discount to domestic US product.”