Brazil has “huge potential” for beef production
16/05/2016
Speaking on a visit to New Zealand, Adolfo Fontes said that Brazil is committed to lifting productivity in order to compete with global beef markets. He said that the country’s “potential to increase production is huge” due to improved genetics and grain-fed systems that boost carcass weight.
Mr Fontes told farmers that Brazil was shifting towards more intensive beef production systems and that by 2025 20% of beef would be produced through a feedlot system. The current figure is 10%.
“We are also seeing Brazilian farmers increasingly adopt integrated crop-livestock systems to utilise their maize or soybean crops, and it is estimated that five million hectares are farmed this way,” he added.
Brazil is the world’s second largest beef producer and also occupies second place in global beef trade. Mr Fontes reported that the country is to become the biggest supplier of beef into China with approximately 200,000 tonnes to be exported to the country this year. He also confirmed that Brazil is expected to secure access to the US fresh beef market this year.
“While exports to the US will be limited by quota agreements, access to the US market will improve Brazil’s position in international markets and could be the catalyst for other countries to open their markets - with sights set on Japan, South Korea, Mexico and Canada - although this could be a long way off,” he concluded.