Pork Insight Articles

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Author(s): A. Heck
Publication Date: March 30, 2011
Reference: London Swine Conference, 2011
Country: Canada

Summary:

Brazil is rising in the global pork market due to various non-technological and technological reasons, and despite some of its limiting factors. Brazil’s climate allows pork producers to use natural ventilation and light, and allows for two crops a year to be grown. Water and potentially arable land are also readily available in Brazil. The low pig density indicates there is a lot of possible expansion, and low labour costs can make the industry globally competitive. One of the technological advantages the Brazilian pork industry has is its chain organization: there is a high level of integration, and agribusiness companies generally handle coordination. Production has grown due to the high level of integration, and also because processors often work with both poultry and pork, and can use poultry resources like infrastructure and marketing. Brazil has also benefited from the increase in global communication and availability of knowledge. Crop production has increased, and swine genetics have been improving. Brazil also has the advantage of being PRRS free, the high use of ractopamine, and advancements in immunocastration. Brazil’s two biggest limiting factors are the lack of capital due to high interest rates, and the positive foot and mouth status limiting market access. Brazil has potential to continue to grow its industry and to increase its presence in the global market.

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