Pork exports of Brazil to China should sustain production

Published 2022년 11월 16일

Tridge summary

Rabobank's supply and demand report for 2023 projects a 1% increase in pork supply, led by a 2% recovery in exports. However, the sector is expected to face pressure due to decreased demand from China and lower domestic consumption, potentially leading to a drop in live hog and wholesale pork prices. The export sector will need to find new markets as China maintains its pig herd recomposition and global supply recovers. Global health risks from PSA and PRRS could provide opportunities for Brazilian exports due to high international market competitiveness. Feed costs are also a factor to monitor, especially with the risk of price increases.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The new supply and demand report for agricultural products by Rabobank projects a further increase in supply of 1% in 2023 for pork. “Guided mainly by exports, which should recover 2% of the volume shipped compared to this year”, comments Rabobank. “The beginning of 2023 will be the first challenge for the sector. The seasonal reduction in demand from China (which has already prepared inventories for the Chinese New Year holiday) and the seasonal drop in domestic consumption are factors that should bring a scenario of pressure on live hog and wholesale pork prices /retail, with the market itself testing the purchasing power of the consumer”, he adds. The search for new destinations should remain one of the main objectives of the export sector next year. “With the tendency to maintain the recomposition of the pig herd in China and the recovery of global supply, an increase in competitiveness in the foreign market is expected”, he indicates. “Global health risks, both from PSA and ...

Source: Agrolink