Agriculture Minister Blairo Maggi is convinced that Brazil should allow its local coffee processing industry to import robusta beans following a poor harvest but says the move is strongly opposed by growers and the outcome is uncertain.
In an interview with Reuters late Monday, Maggi said his ministry will send a positive recommendation regarding robusta imports to other senior departments of President Michel Temer's government, which will make the final decision. "The numbers we have (on stocks) indicate that we should open up imports to supply the industry, particularly the exporting companies," Maggi said.
"Technically, I'm convinced it should be done, but it is a very delicate issue," the minister said, adding that robusta imports face strong opposition from growers and their political representatives, especially in Esparito Santo, the top robusta-producing state in Brazil. Only on very rare occasions has Brazil imported coffee, but Maggi says the step is warranted to keep processors from folding because of the lack of supply, which would reduce growers' market next harvest.
Published under arrangements with Reuters.
No content from Business Recorder shall be reproduced, published, broadcast, rewritten for broadcast or publication, or redistributed directly or indirectly in any medium.
Business Recorder shall not be responsible or held liable for any error of fact, opinion or recommendation and also for any loss, financial or otherwise, resulting from business or trade or speculation conducted, or investments made, on the basis of the information posted here. Nor shall Business Recorder be held liable for any actions taken in consequence." >Copyright Reuters, 2017