China set to grant Brazilian soymeal export permits

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Speaking at an event in Sao Paulo, Montes explained Brazilian government officials will inspect the plants as part of the process to obtain the desired export permits from Beijing. (File pic shows Brazalian soyabean being prepared for export.

SAO PAULO: Brazilian Agriculture Minister Marcos Montes says Chinese authorisations for Brazilian soymeal exporters may be granted in the space of two months.

Speaking at an event in Sao Paulo, Montes explained Brazilian government officials will inspect the plants as part of the process to obtain the desired export permits from Beijing.

Last week, the Brazilian government confirmed that China had opened its market to soybean meal produced in the South American country.

However, it added that certain bureaucratic hurdles would need to be removed.

Andre Nassar, president of Brazilian oilseeds lobby Abiove, said initially, accreditation of soy crushers for the sale of soymeal to China would be handled directly by Chinese authorities.

That changed after Brazil’s agriculture ministry negotiated a different approach.

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There is no timetable for Brazilian inspectors to visit soy crushing plants, but a meeting between the government and the industry is scheduled to take place on Friday, when that may become clearer, Nassar said.

Conceivably, a list or approved soymeal plants could be produced in two months’ time, Nassar noted.

Regarding when shipments per se would start, Nassar said it will depend on market dynamics.

Aside from soymeal, Brazilian companies hope to start selling corn to China.

Last week, Montes said Brazilian corn shipments to China could be expedited after a re-discussion of an agreement that initially established only Brazil’s 2023 corn crop would be exported.

Montes predicted the first Brazilian corn shipments to the Asian country could happen in around three months, pending adjustments of a bilateral trade protocol. — Reuters


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