Coronavirus impact is already great in Brazilian agribusiness and livestock



March 22, 2020


This Saturday (21), the Confederation of Agriculture and Livestock of Brazil (CNA) released the report in which it shows the impact of Covid-19 (new coronavirus) in Brazil. According to the pandemic monitoring bulletin, the effects have given significant shocks to Brazilian agribusiness and livestock, directly impacting the country's economy.


The pandemic monitoring bulletin prepared by the CNA (Confederation of Agriculture and Livestock of Brazil) shows the negative effects for slaughterhouses that work in the supply of poultry, shrimp and swine.


The CNA says the beef cattle market was under severe pressure earlier in the week. This is because Business focused on the sector, like the slaughterhouses, they are suffering a drop in prices, as well as reducing the number of employees and announcing collective vacations.


In view of the coronavirus pandemic, restaurant services decreased their sales by up to 15% with regard to poultry and swine. And there was a drastic drop in shrimp of 80%. With the coronavirus outbreak affecting the Brazilian population flower sales also dropped significantly by 50% for vase flowers and 70% for cut flowers.


China expands demand for Brazilian products


The CNA report shows that the trade in grains, foods and oils that are destined for China increased by 9.7% in the months of January and February, exactly, at a time when the epidemic was strongly affecting the Asian country.


According to the entity, there was a growth in the sale of basic items in supermarkets to supply Chinese food. Thus, as food sales via the Internet also increased by 3% in the same period.


This online alternative emerged from the cancellation of sea routes that has caused a delay in transporting food to China.


According to the Confederation of Agriculture and Livestock of Brazil (CNA), the demand for food destined for Saudi Arabia has also increased. Regarding the European Union and the United States, there is still no data on the relevant impacts on sales to these regions of the globe.


If, on the one hand, there was a fall in flowers, on the other hand, fruit and vegetable producers suffered an increase of up to 30% in supermarket demand. With the guidelines that we need strengthen the body's immunity against the coronavirus, the population has avoided ordering fast food, restaurants and bars that were also forced to close. This sector has suffered dramatically as a result of the closure of its establishments in large cities, as explained by the CNA document.


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