India unseats Brazil as No.1 food supplier to Arab nations after 15 years
- IBEF
- December 9, 2021
After 15 years, India outpaces Brazil to become the top food exporting country to the League of Arab states.
According to Arab-Brazil Chamber of Commerce, The Arab League of States is one of the top trade partners of Brazil. Amid Covid-19 pandemic, Brazil’s geographical limitations acted as a barrier after the global logistics rattled. In 2020, Brazil accounted for almost 8.15% of total Agri-based products import to the 22 League members. However, India registered 8.25% of that trade, putting an end to Brazil’s 15-years of dominance. Brazil also lost its advantage to other exporters like Turkey, the US, France, and Argentina due to the negative effects of the pandemic on traditional shipping routes. Shipments from Brazil to Saudi Arabia took 60 days instead of 30 days. However, the geographic advantage helped India ship fruits, vegetables, sugar, grains, and meat in less than a week.
In 2020, Brazil’s agricultural exports to the Arab League increased marginally by 1.4% to US$ 8.17 billion. Between the months of January and October 2021, sales were up 5.5% to US$ 6.78 billion only.
The chamber stated that China featured their own inventories during the pandemic and rerouted some of Brazil’s trades with the Arabs. Countries like Saudi Arabia are big buyers but also net exporters of food.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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