Country slaughterhouses already rule exportations
Valor Econômico - 03/14/2008
More than half of the international beef market, with more than 7 million tons sold a year between exportation and importation, is controlled by Brazilian companies. The explanation is the internationalization movement of the sector, started in 2005 and which became stronger last year, when slaughterhouses such as JBS-Friboi and Marfrig made major acquisitions abroad. According to Pratini de Moraes, president of the Association of Brazilian Beef Exporters (Abiec), the Brazilian companies installed in the domestic territory and abroad have an exportation potential of 52% of these 7 million international annual tons. Besides, they hold 10% of the world beef market. JBS by itself made nine acquisitions abroad in 2007 - among them the American Swift - and has just announced the purchase of three other companies: two American ones (National Beef and Smithfield Beef) and an Australian one (Tasman). Marfrig also made nine acquisitions in 2007, while Bertin made two purchases abroad since 2006. Internationalization was the way found by the sector also in order to dribble the barriers that once in a while affect the country. Such as the recent restrictions of the European Union to the Brazilian beef after that the block alleged there were imperfections in the cattle tracking system in Brazil. Pratini de Moraes pointed out that, in spite of the obstacles, in 2007 Brazil alone had 33% of the international beef exports, distantly followed by Australia, which had 19% of the external sales. In the revenues, there was a 16.94% increase, to US$ 806.9 million, according to Abiec.