Brazil's B dairy aims at increasing its product presence in the GCC
DUBAI-February 05, 2015: B dairy, the consortium that represents nearly 40 per cent of Brazilian dairy products exporters, has revealed that exports of their dairy products to Arab countries totalized US$ 82.7 million in 2014. This represented 24 per cent of Brazil’s total amount of export which is US$ 345.3 million.
Brazil is the fourth largest milk producer in the world with more than 100 years of experience in manufacturing dairy products. B dairy brings international attention to the Brazilian dairy industry by establishing and unifying a consistent brand image, range of products and desirable business outcomes for all global business partners.
In the Arab World, B dairy’s priority countries for export are Saudi Arabia, Algeria and Egypt, in addition to other four countries in the current year. The KSA is the major consumer market for Brazilian sweetened condensed milk, which is amongst the most traded products in the Middle East. The value of its export to KSA increased from US$ 1.1 million in 2011 to US$ 11.9 million in 2014. Meanwhile, Bahrain is currently the main importer of Brazilian butter in the region, totalizing US$ 1.25 million in 2014, and surpassing Yemen, a traditional importer of this Brazilian product, with imports valued at US$ 840,000 in the same year.
Aimed at fomenting export of Brazilian dairy products and the trade with Arab and other focus countries, B dairy is participating in the 20th edition of Gulfood, the world’s biggest annual food and hospitality show, which is taking place from February 8 to 12, 2015 at the Dubai International Convention and Exhibition Centre. B dairy has a strong strategy to increase its foothold in the dairy export and enhance presence in more local markets, by gaining optimum exposure to interact with world’s leading buyers and sellers of dairy products at the Gulfood 2015.
Speaking at a Press conference in Dubai to reveal their expanded offerings in the GCC, Mr. Bernhard J. Smid, International Trade Promotional Manager of B dairy, said, “Brazil is one of the few countries capable of providing reliable and safe dairy products, respecting the sustainability of its natural resources. Milk production represents 58 per cent of the Brazilian agricultural production. Being comprised of leader companies and cooperatives of the Brazilian dairy sector in the international market, B dairy has the objectives of introducing Brazil as one of the main worldwide producers of milk, and to foster the foreign trade of already exporting companies, and of those with strong potential to export.”
“Due to the current characteristics of the dairy production in Brazil, where milk production is capable of being increased by at least three times with no need of compromising new production areas. The country is quoted as being the ‘sleeping dairy giant’ with strong and significant investments being made by diary producers in order to increase the competitiveness and modernize their productive and trading systems,” he added.
Elaborating on Brazil’s milk production chain, J. Smid quoted the latest statists that shows there are 1.5 million rural establishments responsible for approximately 58 per cent of the milk supply for the Brazilian industries. “Several production improvement programmes are being implemented by the Federal Government, and also by private initiatives with the aim of improving the production and quality of life of those families making a living from milk production.”
As in several countries, the dairy production in Brazil has started with small rural producers, who slowly increased their productions and enhanced the producing capacity. Currently, the dairy production in Brazil intended to exportation is highly specialized and competitive in terms of quality and variety of dairy products, though with a high possibility of expansion. Brazil has fastest growing agricultural sector in the world, expanding to over 40 per cent by 2019 and boasts annual milk production of approximately 32 billion litres.
According to him, the liquid milk is the most consumed dairy product throughout the developing world, and processed dairy products are becoming increasingly important in many countries. “The Food and Agriculture Organisation of the United Nations (FAO) estimated that, worldwide, approximately six billion people consume milk and dairy products. In this scenario, Brazil is one of the few countries in the world capable to provide reliable and safe dairy products.”
The development of milk production and the growth in exports stimulate the increase of production, the professionalization of producers, and the quality of milk. The diary producers use the most modern worldwide recognized quality control systems. Being an important product for human health, the fluid milk and other processed dairy products stand out in feeding the whole world.
With the climatic diversity in each Brazilian region, the dairy cattle-feeding is also regionalised, according to specificities. Thus, the seasonality of the milk production that is observed in Europe and New Zealand, reflecting on the price of milk, observed in Brazil, and milk is constantly produced in the Brazilian territory throughout the whole year.
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