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Mexico opens doors to some Brazilian pork products

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Through September, the United States shipped more than 550,000 metric tons of chilled pork cuts to Mexico, accounting for 86% market share.

As part of an effort to attract more meat suppliers to the Mexican market, the government of Mexico is allowing limited access for Brazilian pork. U.S. Meat Export Federation Vice President of Economic Analysis Erin Borror says all Brazilian product must come from the state of Santa Catarina. Brazilian pork must also be from plants approved for export to Mexico and must go directly into further processing upon arrival.  

"We've been waiting and anticipating when Mexico might allow pork from Brazil," says Borror. "They've allowed Brazilian poultry for a few years now, and this past week announced that they have approved a handful of Brazilian pork plants, I think there's eight establishments, and pork specifically from the state of Santa Catarina. That is Brazil's state that's free of foot and mouth disease and also does not vaccinate for FMD. So it must be born, raised, slaughtered in the state and from the specific approved plants. The other major requirement is that pork must go into further processing in Mexico on arrival."

Borror does not expect a big shake up in the market, but says Brazil will have some opportunity to capture market share in the frozen pork category.

"For the U.S., we obviously have tremendous advantages given our proximity and long history in the market, specifically our ability to ship fresh, chilled, bone-in hams and shoulders into Mexico and largely into the Mexican processing industry," Borror says. "We hold about 86% share of the chilled product going to Mexico, and Canada is the remainder. I don't think Brazil will challenge us in that chilled category.

"Where it might get interesting is on the frozen side. We do export some frozen pork to Mexico. U.S. pork accounted for 60% of frozen going to Mexico. When Mexico eliminated the import duties back in May, Europe did gain some momentum, mostly Spanish bellies. Brazil, like Europe, right now benefits from the temporary zero tariff rate and so we can imagine some opportunities for Brazil to do some business in that frozen category.

Source: USMEF, which is solely responsible for the information provided, and wholly owns the information. Informa Business Media and all its subsidiaries are not responsible for any of the content contained in this information asset.

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