BRAZIL – According to a report by CEPEA, Brazil’s pork exports experienced a decline in May following a record-setting April.
Despite a robust daily shipment average of 4.4 thousand tons, consistent with April, the overall monthly export volume fell due to May having one fewer production day than April, as indicated by Secex data.
In May, Brazil exported 103.3 thousand tons of pork, marking a 7.4% decrease from April.
However, this figure is still 2.7% higher compared to May of the previous year.
Revenue from these exports also saw a decline, totaling BRL 1.15 billion (US$8.8M) in May, which is 6.7% lower than in April and 7.5% below the earnings from May 2023.
On the domestic front, early June saw an uptick in sales of live pigs and pork, reversing the downward trend observed since mid-May.
Cepea’s survey highlighted that this surge in demand led to increased prices across all monitored regions.
Concurrently, the swine industry in Rio Grande do Sul, Brazil’s third-largest pork-producing state, is grappling with the aftermath of severe flooding that began in early May.
The unprecedented environmental disaster has inflicted significant damage on numerous pig farms, resulting in the deaths of thousands of animals and bringing production to a near standstill for nearly two weeks.
For instance, Gaúcho pig farmers, who contributed around 20% to the national pork production in 2023, are now in the process of recovery, having resumed partial operations despite the extensive damage.
This dual narrative of declining exports juxtaposed with rising domestic demand and environmental adversity paints a complex picture for Brazil’s pork industry.
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