Ban on meat imports from Brazil: concerns over costs and supplies of bresaola
Manufacturers fear a 25 per cent drop in raw material supplies, leading to higher costs. Resuming EU-Brazil talks to find a solution
Key points
There is great concern within the supply chain for Bresaola della Valtellina supply chain over the halt imposed by EU Commission on imports of meat from Brazil. The import ban will come into force tomorrow, 3 September, due to Brazilian operators’ failure to provide supply chain certification proving that they have not used an antimicrobial banned in Europe in cattle rearing.
Assica: the Brazilian supply chain lacks a certification system
“Let’s make this clear straight away,” explains Davide Calderone, director of Assica, the association of cured meat producers, Davide Calderone – “there is no health risk to consumers here. The point is that Brazil, partly as a result of the agreement between the EU and Mercosur, should have put this certification system in place to rule out the use of the antimicrobial, but has not yet done so. Producers in Argentina, Paraguay and Uruguay, the other signatory countries to the EU-Mercosur agreement, have, however, implemented such a system, and we are seeking to increase our imports from these countries.”
Whilst it has been made clear that potential health risks are not in question, economic concerns remain on the table, particularly for a flagship ‘Made in Italy’ food product such as Bresaola della Valtellina PGI, which relies on foreign raw materials, specifically from Brazil.
Most Bresaola is made from Brazilian beef
“Our Bresaola,” explains Mario Moro, president of the Consorzio della Bresaola della Valtellina IGP, “is produced using 82 per cent South American meat, 60 per cent of which comes from Brazil. This suspension will immediately result in a shortfall of at least 25 per cent of the raw material we require. We also expect a sharp rise in prices, given that the cost of the meat used to produce bresaola has already risen by 15 per cent since June (that is, since the EU measure was announced). We are trying to take remedial action by stepping up purchases from other countries, but availability is limited’.
Companies only have two or three months’ worth of raw material stock
Companies have also been trying to build up their stocks of raw materials, at least since the measure was announced by Brussels. “At present,” added Moro, “we can assume that stocks could sustain two to three months of production at most. And after that?”
The problem, according to the Consortium, is that the solution to this impasse will not be straightforward.
