MEXICO CITY, Aug 28 (Reuters) - Mexican authorities will
kick off audits of 14 Brazilian meatpacking plants next month to
clear them to send exports to Mexico, Luis Rua, secretary of
trade at Brazil's agriculture ministry, told Reuters.
WHY IT'S IMPORTANT
In August, Mexico overtook the U.S. as the No. 2 buyer of
Brazil's beef as U.S. tariffs on Brazilian goods took effect.
Brazil is the world's top beef exporter.
KEY QUOTE
"There will be an audit in September, Mexico's sanitary
agency will go to Brazil and hopefully soon these 14
(meatpacking plants) will be approved," Rua told Reuters on the
sidelines of an event in Mexico City.
ADDITIONAL CONTEXT
The news was first reported by Brazilian outlet Estadao.
According to the report, the plants belong to meatpacking majors
such as Marfrig, JBS and BRF.
Analysts said that the U.S. tariffs are set to reshape the
beef trade, speculating that beef could be sent through Mexico
or other countries before ending up in the U.S.
Mexico Economy Minister Marcelo Ebrard told Reuters that "it
was not the plan" for the increased beef shipments from Brazil
to make their way to the U.S.
BY THE NUMBERS
The plants' approval would be in addition to the 35 plants
already cleared to export to Mexico, Rua explained.
THE RESPONSE
Mexico's agriculture ministry, which operates the sanitary
agency, did not immediately respond to a request for comment.