Brazil’s Export Performance Strongly Defended By Flavio Maluf
On July 13, the Secretariat of International Relations of the Ministry of Agriculture, Livestock and Supply revealed the results of the report on exports of Brazilian agribusiness for the month of June. Flavio Maluf, president of Eucatex stated that the report showed a decrease of 0.7% compared to the same time the previous year.
As both the CEO of a family owned and operated global conglomerate and the son of a prominent Brazilian government official, Maluf knows a thing or two about governmental reports. While some might see the downturn as cause for alarm, Maluf seemed to put a very different spin on things. Maluf took pains to point out that soybeans account for more than 50% of Brazilian agribusiness exports and agribusiness exports alone account for more than 45% of Brazil’s total exports. Read more about Flavio Maluf on Crunchbase
In the first half of 2018 alone, Brazil exported more than 46.27 tons of the grain which generated revenues of US $18.43 billion. In a survey conducted by the Brazilian Supply Company (Conab), they estimated that soybean production would reach 119 million tons, with a total of 72 million tons going towards exports. That amount would exceed last year’s volume by 5.6%. Compared to the first half of 2017, Brazil has increased their export yield by 5.2% and reaped a 10.6% increase in value, which resulted in an overall average price increase of 5.1%.
Agribusiness in Brazil encompasses small, medium and large producers whose efforts are largely coordinated by the Ministry of Agriculture, Livestock and Supply. Through efforts geared towards creating both sustainable development and competitiveness, the aim of the ministry is to provide food security for the country’s own citizens as well to create a surplus for export. The overall aim of the ministry is to stimulate the national productive sector to eventually make Brazil a global force in the international economy.