Data from the Market Intelligence area of the Arab / Brazilian Chamber of Commerce point out that in January this year, Brazilian exports of wheat and mixtures with rye to the Arab countries totaled US$ 26.78 million, the highest level ever recorded. 124,715 tons were exported in January and the main buyers were Saudi Arabia and Palestine. According to Felipe Novaes, agribusiness analyst at Tendências consulting firm, the record is inserted in a broader context. Among the factors are the Brazilian supply, which is high due to the harvest period, and the appreciation of the dollar that makes the Brazilian product more competitive. There is also demand from the North Africa and Middle East (MENA) region and low supply in important producing countries. Regarding Arab consumption, Novaes recalls that growth has occurred since last year. “Between 2020 and 2021, the USDA forecasts an increase in consumption of around 2.5% per year, on average, for North Africa and the Middle East, where the Arab countries are concentrated,” he pointed out. The rate is above the last five years when consumption growth in the region averaged 1.1% per year. Also according to the USDA, to meet consumption needs, MENA nations must import more wheat. In the biennium that includes 2020 and 2021, the average growth in purchases should be 4.6% per year.
Sources: Agência de Notícias Brasil-Árabe – ANBA/Datamar News