The North American Institute
for Beef Economic Research (NAIBER) sponsored an intensive 9-day study
tour of the Brazilian beef industry in November 2006.
In order to gain a more
extensive understanding of the beef industry, participants visited
different areas of the country including Sao Paulo, the center for many
exporters; Brasilia, the nation’s capital; and Campo Grande, the capital
of one of the largest beef producing states. Participants met with
government regulators, industry organizations, and industry leaders and
toured beef production facilities. They discussed a variety of topics
pertinent to the beef industry. Issues included beef production
systems; pricing methods; animal identification; beef traceability; Foot
and Mouth disease management, impacts, and future implications; and
export market developments. The tour also included visits to a cattle
ranch, citrus operation, sugar cane farm, and ethanol plant.
Brazil has been the world’s
largest beef exporter for the past two years. Despite a FMD outbreak in
late 2005, Brazil continued to lead world exports in 2006. Two of the
main objectives of the trip were to understand the rapid growth in the
Brazilian beef industry and to evaluate that growth against the backdrop
of a struggling US export market.
.
Rich Porter, a Kansas beef
producer, commented after the trip, "Anyone who looks at the numbers for
the growth of beef production in Brazil has to be very impressed.
Seeing it first hand, the only conclusion is that they have a lot of
potential to continue to increase their production. The Brazilians
would point out all of their beef production problems and say that they
are like a pickup only firing on half of its cylinders. The Americans
would reply that if their pickup can go down the road 80 MPH on half of
its cylinders then we dread what they will be able to do if they can
just start firing on 3/4 of their cylinders."
