Featured Food NewsDecember 7, 2021

Brazil is eyeing the $1.17 trillion halal food market, hoping to increase its share of global trade

According to Flavio Bettarello, deputy trade secretary at the Agriculture Ministry, Brazil, the largest global exporter of food products like coffee and soybeans, is eager to boost farm product exports to Islamic countries.

Bettarello said Brazil is in talks with Indonesia, Lebanon, and Morocco to gain access to their markets and sell agricultural commodities other than corn, beef, chicken, and raw sugar at a business conference in Sao Paulo on Monday.

“There is a concern relative to the types of products exported and the destinations,” Bettarello said.

According to statistics collected by the Arab Brazil Chamber of Commerce, the Organization of Islamic Cooperation (OIC), which has 57 members, imported $190.5 billion in food items in 2020, including wheat, corn, sugar, rice, milk, and dairy products. Brazil accounted for $14.1 billion, or 7.5 percent of the total, according to the data.

Only five OIC countries receive about half of Brazil’s agricultural exports, according to Bettarello, citing Turkey, Iran, Indonesia, Saudi Arabia, and Bangladesh as the group’s top importers.

“China is our main trade partner and our share in the Chinese market is 21%,” he said referring to food exports. “We know there is room for us to expand our participation in OIC countries and the Islamic world.”

Brazil’s urge to negotiate reflects the country’s desire for a larger share of the global food trade.

The country is already the largest exporter and producer of halal meats, such as beef and chicken, which are produced in accordance with Muslim dietary requirements. According to government data compiled by industry groups Abiec and ABPA, Brazil’s halal beef and chicken exports totaled $4.7 billion last year.

According to the State of the Global Islamic Economy Report, Muslims managed to spend $1.17 trillion on food in 2019. According to the report, Muslims are expected to spend $1.38 trillion on food by 2024.