Government also anticipates new agreements with China
The Ministry of Agriculture has announced progress in negotiations with Japan and Angola aimed at strengthening trade and cooperation ties with both nations. During the G20 summit, the Secretary of Trade and International Relations, Luis Rua, held meetings with Japanese and Angolan authorities on Monday, November 18.
Negotiations with Japan
Discussions with Japan focused on agribusiness topics of mutual interest, such as the trade of pork, beef, and melons. Rua emphasized that Japan is a significant market for Brazil, expressing optimism that these discussions will soon yield positive outcomes.
Cooperation with Angola
Talks with Angola centered on an official mission planned for early December to deepen cooperation and promote trade between the two countries. Negotiations also highlighted advancements in commercial agreements and the strengthening of joint initiatives, according to a statement from the Ministry.
Argentina: Natural Gas Agreement to Boost Fertilizer Production
On Monday, November 18, Minister Carlos Fávaro highlighted the importance of a Memorandum of Understanding signed between Brazil’s Ministry of Mines and Energy (MME) and Argentina. This agreement will enable the export of Argentine natural gas to Brazil, with an initial estimate of 2 million cubic meters per day, scaling up to 30 million cubic meters by 2030.
Fávaro underscored the benefits for Brazil’s nitrogen-based fertilizer production. “Purchasing natural gas at the negotiated prices from Vaca Muerta ensures food production, combats hunger with fair prices, and controls inflation. Brazil’s heavy reliance on imported fertilizers posed a major risk to its agricultural potential. Today marks a pivotal moment, signaling to the market that Brazil’s fertilizer production policies are moving from rhetoric to reality,” stated Fávaro in a press conference.
The cost of Argentine natural gas upon arrival in Brazil is expected to range between USD 7 and USD 8 per BTU. Currently, Brazil imports approximately 86% of the fertilizers it uses.
Upcoming Talks with China
On Wednesday, Minister Fávaro will participate in bilateral meetings with China. President Xi Jinping will be welcomed by Brazilian President Lula at the Palácio da Alvorada in Brasília, followed by a dinner at the Itamaraty Palace.
Expectations are high for trade advancements, including the potential signing of sanitary protocols to initiate Brazilian exports of sorghum, fresh grapes, sesame, bovine offals, fish oil, and fishmeal. Discussions may also include announcements regarding the approval of Brazilian meatpacking plants for export.
