Any material impact of the Mercosur-EU trade deal on Brazilian beef exports should emerge only from 2027, according to Roberto Perosa, president of the Brazilian Beef Exporters Association (ABIEC), informed Valor.
That is because the trade pact is pending approval by the parliaments of the EU’s 27 member states as well as by the Mercosur countries. Additionally, the 99,000-tonne tariff-free quota allocated to Mercosur will need to be divided among its members. Once implemented, Brazil could increase its beef shipments to the bloc by between 5% and 7% a year, Perosa said.
“In my realistic assessment, [the agreement] comes into force at the very earliest at year-end. I believe Brazil’s Parliament will approve it by midyear. The parliaments of the 27 EU countries should give their approval by the middle of the second half,” Perosa said at a press conference on Monday (19). As a result, Brazil is expected to begin exporting part of its duty-free quota only from next year.
Perosa estimated that because of the limited quota given by China to Brazil, exports to the US may increase nearly 50% this year to around 400,000 tons.
