Long struggle ahead, says Abrafrigo
Brazilian packers have been badly affected by the international financial turbulence, according to Brazilian packers’ association Abrafrigo. The association’s president, Péricles Salazar, says that, because of this, packers are unlikely to recover until 2010.
Mr Salazar says the sector is one of the worst affected by the crisis, adding that four large Brazilian packer companies have been forced into administration. Around 30,000 people were employed directly or indirectly by these companies.
"The problems that arose in September after the financial crisis struck have not yet fully been repaired,” he said. However, although exports have fallen below the historical average since September, they have increased month by month, concluded Mr Salazar.
He said 2009 will require packers to make constant adjustments and that in 2010 companies will start to see light at the end of the tunnel.
Reports indicate that many Brazilian packers are operating at just 60% of their production capacity.
