Brazil Struggles to Grow Fruit Exports

Guilherme Coelho, leader of Brazil’s Abrafrutas, arrived in India on Monday to expand market opportunities and clarify regulations.

Meanwhile, in São Paulo, experts discuss fruit exports. They focus on the need for Global G.A.P certifications, which are crucial for meeting international quality standards.

Brazil holds only 602 such certifications. This low number affects the country’s export performance.

Even though Brazil set a revenue record of $1.6 billion in 2022 fruits sales, it still lags behind in export volume.

Peru and Chile outperform Brazil with revenues of $5 billion and $7 billion, respectively.

Eduardo Costa, Abrafrutas executive, warns that Europe is getting stricter about fruit quality.

He suggests that more Brazilian farmers should get Global G.A.P certified. Most of Brazil’s fruit exports go to the European Union.

Costa says Brazil needs to diversify its markets to grow.

Diversification

Brazil’s agricultural exports reached $158.9 billion in 2022, showing a 32% growth from last year.

However, a recent Agro Insper Global study reveals a $720 billion global market still largely untapped by Brazil. Currently, Brazil’s share in this market is less than 1%.

The main focus of Brazilian exports has been on soybeans, corn, and meat. Still, Agro Insper Global suggests there’s room to grow in fruits, vegetables, and dairy.

Transitioning into these areas could tap into the $720 billion market, enriching Brazil’s export portfolio.

Another hurdle is poor logistics. Most of Brazil’s exports get shipped by sea, and there are many port issues.

Leonardo Machado of the Apex agency talks about training programs for farmers. These programs aim to help small and medium farmers get into the export game.

Lastly, Giampaolo Buso discusses the need for tracking where food comes from, known as traceability.

He says it makes up about 5% of production costs but can make management more organized.

Background

Brazil has long been a key player in agriculture. It’s the third-largest fruit producer in the world but ranks only 24th in fruit exports.

This reveals a significant gap between potential and performance. In contrast, countries like Peru and Chile have streamlined their export processes.

They’ve embraced certifications and capitalized on diversified markets. For Brazil, the road ahead involves more than just meeting global quality standards.

Market diversification and farmer education are equally vital. Addressing these areas could make Brazil a formidable competitor in the global fruit export market.

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