Big news has come for the country on the export front. India has overtaken Brazil in exporting food to Arab countries and this has happened for the first time in the last 15 years. Arab Brazil Chamber of Commerce has given this information. The reason for this happening is that due to the COVID-19 epidemic, trade flow was hampered in the year 2020. According to data released by the Arab-Brazilian Chamber of Commerce, trade between Arabia and Brazil declined in 2020 due to the Covid pandemic. According to the report of a private news agency, Arab countries are the most important trading partners for Brazil. But due to the disruption in global logistics during the Corona epidemic, Brazil distanced itself from trade with these countries and suffered heavy losses.
According to the information, in the last year 2020, Brazil’s share in the total agribusiness exports of 22 billion countries was only 8.15 percent, while India’s share increased to 8.25 percent. Where earlier Brazilian ships used to reach Saudi Arabia in a month, now it takes two months to reach them. While India is very close to it, it only delivers fruits, vegetables, sugar, grains and meat in a week. Due to low exports from Brazil, Saudi Arabia insisted on production in its own country and encouraged imports from other alternatives such as India.
India has well established its dominance in this market while Brazil’s influence in this matter has waned. In the case of Arab League, if we look at Brazil’s agricultural exports, it grew at a rate of only 1.4 percent last year, which stood at $ 8.17 billion last year. At the same time, Brazil’s total trade between January and October of this year was $ 6.78 billion, that is, it saw an increase of 5.5 percent. According to Chamber’s data, this has happened due to logistical problems.