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Sugar shipment from Brazil is close to the record in July; soybean imports soar

Brazilian sugar exports increased 91.5% in July in relation to the same period last year, to 3.487 million tons, and approached a record level of monthly shipments, according to data from the federal government released on Monday.

To date, the largest volume ever shipped by the country was 3.5 million tons, in September 2017, according to the Foreign Trade Secretariat (Secex).

The sugarcane mills have had the support of foreign exchange and wide availability of supply to export, in addition to having closed a large volume of business in advance. In the last week, this situation already indicated that the shipment of the month would come close to a record.

With the US currency traded at around 5.30 reais, the Foreign Trade secretary of the Ministry of Economy, Lucas Ferraz, said on Monday that the trend is that the exchange rate remains favorable to Brazilian exports, especially those of agribusiness. .

He also pointed out, in a press conference on the internet, that there is no concern on the part of the government with the increase in the representativeness of China as an importer of Brazilian products.

The Chinese market has been one of the main sugar export destinations in Brazil and leads the acquisition of other commodities such as soy, beef, pork and iron ore.


External soy exports reached 10.37 million tons in July, compared to 7.44 million a year earlier, Secex reported. The average number of shipments went from 323.6 thousand tons per day to 451 thousand tons per day.

After record shipments this year, a leaner offer has already resulted in an increase in grain imports to contribute to meeting local demand.

Thus, soy imports jumped from 12.75 thousand tons in July 2019 to 126.2 thousand tons last month. And the trend is that this movement will be accentuated until the end of the year, during the off-season of the country.

On the negative side, Brazilian corn exports dropped to 4.14 million tonnes in July, compared to 5.92 million tonnes a year earlier, amid a scenario of lower supply available for shipment.

In coffee, the fall was to 167.8 thousand tons (2.796 million bags of 60 kg) in July, compared to 174 thousand tons in the same period of 2019.


In the area of ​​animal protein (in natura), the highlight goes to the pork segment, whose meat shipments grew 46.7% in July, to 90.2 thousand tons, in line with demand from China. The country continues with the herd affected by African swine fever and keeps its purchases in the international market steady.

The volume exported by Brazil was close to the record monthly level, of 90.7 thousand tons registered in May.

The disease that wiped out more than half of the Chinese pig herd and still affects other countries in Asia also contributes to Brazilian beef exports.

In July, foreign sales of bovine protein rose 27% year-on-year, to 169,200 tonnes, Secex reported.

In the opposite direction, poultry meat shipments fell 9.23%, to 337.48 thousand tons. The betting of some Arab and Asian countries on own chicken production helps to limit exports in the sector.


Source: Terra



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