Brazil Minister Maggi to attend Brics meeting in South Africa

On his way to Johannesburg, South Africa, Brazil’s Agriculture Minister Blairo Maggi is to take part in the preparation talks for the 10th summit meeting of Brics—a group made up of Brazil, Russia, India, China, and South Africa—to seek the end of Russia’s embargo on Brazil’s pork and beef. The ban, introduced under allegations that stimulants and similar substances were found in Brazilian goods, has been in effect for nearly six months.

“All requests by Russia have been met and brought into force,” the minister stated today (Jun. 20), minutes before boarding.

Maggi admitted that the Brics ministerial meeting, which he is expected to attend, will not solve problems related to the ministry, but he said he is optimistic that dialog can help tackle the impasse later on, when the heads of state sit at the negotiation table.

The minister is also set to talk to Chinese officials. He expressed optimism here also, saying he believes a solution is soon to come for the tariff levied early this month by China on Brazilian chicken.

In the coming days, Chinese technical authorities are expected to come to Brazil to asses figures and visit at least three plants. “They claim what we did was dumping—using lower prices for production—which is not true.” Maggi pointed out that Brazil is a really competitive country when it comes to bran and corn production—key for the production of chicken and pork.

Maggi said that the Brazilian government cannot interfere in the trade dispute sparked when the US unveiled the tariff on goods from China and countries in the European Union. The minister acknowledged that Brazil may profit from the situation at first, but the scenario is likely to harm other production variables.

Beans

Maggi’s statements were made after the launch of the first national plan designed for the Brazilian beans and pulses chain, which includes over ten cultivars—among which lentil, chickpea, and pea. Brazil is the world’s biggest producer of beans, with a yearly output averaging 3 million tons. For the first time, the producers of these legumes and the government sat to attempt to organize and boost numbers.

In the document published today, targets are set for the sector, which predominantly serves the domestic market today. In this connection, producers want to find ways to increase internal per capita consumption (currently 16kg a year) by 5kg. Other targets focus on the external market, particularly Asia. In addition to trying to expand production directed at export to 500 thousand tons a year (from a current 106,3 thousand), Brazil may benefit from the demand for pulses to find a prominent position in this kind activity.

“India says it will have a demand of some 30 million tons in the next 30 years. This means approximately 10 million hectares of cultivated land.  This means income for producers and a chance to diversify what we already have,” Maggi said.