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High corn price more expensive chicken

23/08/2012

This article was translated by an automatic translation system, and was therefore not reviewed by people.

 


 


Brasília - Despite the record crop of maize and private stocks of this commodity are crowded, many small poultry farmers have found it difficult to get that which is the main food offered to broilers produced in the country. With this, the cost of chicken production has increased 25%.

Aware of this problem, the National Supply Company (Conab) has stimulated the supply of corn in the most need. The measure, however, is insufficient to meet the demand of the industry, which, according to the Brazilian Poultry Union (Ubabef), is million tonnes per month. The current stock Conab is 1.2 million tons.

Part of the difficulty of access to corn is due to the high international price of the product as a result of drought in the United States. "Besides having reduced their production, drought also hampered the flow, since the affected waterways U.S. where corn is transported," said Superintendent Management Offering Conab, Carlos Eduardo Tavares.

"But I think this is just a momentary problem, since their harvest, the world's largest, is five times higher than the Brazilian. Even with the drop, the U.S. continues producing more than Brazil. While the drought problem in rivers is not overcome, they buy from Brazil. From the moment the rivers back to allow the flow of the product, the tendency will be greater peace internally to commercialize our corn without much influence from the external environment, "said the superintendent.

In the meantime, Conab is acting on two fronts in order to supply maize in areas most affected by drought in Brazil - one in the Northeast, one in South Region "The Northeast has developed a strong and poultry depends on corn to feed their birds . We are releasing stockpiles of Mato Grosso to meet this deficit. Will be sent more than 400 tons of corn to North region. We made grants to the private sector interested in carrying corn up there. In the central area of the Northeast, the removal will rise in inventories of Mato Grosso and Goiás, "said Tavares.

According to him, the 400 tons planned for the Northeast, 70 000 have already been sold. "We are studying the possibility that, if there is a significant increase in prices, further increase the supply of the product." To increase their inventories for the domestic market, Conab is already negotiating to buy 10 million tons of corn produced in Mato Grosso, Parana and in areas of the Northeast.

The South also reported problems due to drought, mainly in the northwest of Rio Grande do Sul and Santa Catarina in the west. To ease the situation, the federal government is moving 200 tons of maize to the affected region. "Of this amount, more than 140,000 have been for the two states through removal," said the superintendent.

"The government uses rightly the prize distribution of production and sale of output as instruments to regulate the situation. It's a commendable attitude. The problem is that lack volume, because consumption and lack of corn are always great. The poultry industry consumes per month, 3 million tonnes, well above the stock announced by Conab, which is only a palliative and not give conditions for regulating the price, "said the president of Ubabef, Francisco Turra.

He explained that in the case of maize, the country has a good stock, "but in the hands of the private sector." In the opinion of Turra, "to improve the situation, the broker Conab need more auctions, including freight corn. Currently leftover corn production areas, but lacking in the areas of consumption because the production is taking another destination, where prices are more attractive. "

The lack of feed for chickens is most felt by small producers, according to the president of Ubabef. "They have no working capital and can not buy. Are at the mercy of a government program like this, to have access to corn. It's a nice gesture from the government but is little. For Brazil, it is better than corn to target ports and foreign markets. "

Only in July exports reached 1.7 million tons of corn, according to Turra. The reflection of this, the farmer explained, is to reduce the production of chicken. "This scenario is not restricted to Brazil. There are about two weeks for a world congress of poultry which brought together representatives from 93 countries in Bahia, poultry producers have announced a 10% reduction in world production. In Brazil, the minimum reduction should be 10%, caused by the high price of inputs and the difficulty of refueling. "

With that, he added, the transfer to the final price will be inevitable. "We have information that this is already happening.
The increased cost to the producer is already over 25%, and have that information, consumer, the final price have increased by about 15%. "



Source: Agency Brazil

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