The recovery of prices and volume of Brazilian beef exports to the Chinese market in the coming months will depend on the success of the measures adopted by the Asian country to accelerate the economy. Those include the stimulus plan launched this week to boost local consumption.
Although the program is not directly linked to the improvement in the demand for food, Paulo Mustefaga, president of Abrafrigo, believes that the measure may also favor the demand for beef.
“Regardless of the purpose of the stimulus, if it brings greater economic growth, this tends to increase consumption and push (beef) prices up,” he said in a news report by the Brazilian newspaper Valor Econômico.
Exports of fresh, frozen or chilled beef from Brazil generated USD 370.242 million in the first 10 working days of July, with a daily average of USD 37.024 million, according to the Brazilian Foreign Trade Secretariat. The total amount exported by the country reached 76,269 thousand tons, with a daily average of 7,662 thousand tons. The average price per ton was USD 4,831.60.
Compared to July 2022, there was a 29% decrease in the average daily export value, a 3.7% loss in the average daily exported quantity and a 26.2% devaluation in the average price.