At least ten GM seed varieties already approved in Brazil have not been planted because they are still under review in China—a process that can take up to eight years. Since China is the primary buyer of Brazilian soybeans and a major importer of Brazilian corn, exporting products containing traits not approved in China could trigger trade barriers.

Eduardo Leão, executive director of Croplife Brasil, said the goal is to sign a memorandum of understanding that would align approval processes between the two countries and open the door for China to export its own biotechnology to Brazil. “We are optimistic, as the timing is favorable. China has been investing more in biotechnology and gene editing, and there’s growing interest in exporting this technology to Brazil,” he told Valor.

While the Brazilian delegation is in China, the biotechnology committee of the China-Brazil High-Level Commission for Consultation and Cooperation (Cosban) will meet to address the issue. Mr. Leão noted that President Lula’s presence in the country will help “boost” the sector’s outreach.

“The relationship with China has reached a level of maturity, transparency, and clarity among the negotiating teams that is unprecedented,” said Luis Rua, secretary of international relations at the Ministry of Agriculture. “This has enabled significant progress.”

The National Union of Corn Ethanol (Unem) will also host a seminar with Chinese importers to promote dried distillers grains (DDG), a high-protein byproduct of ethanol production used in animal feed. Market access for DDG is one of the key items on Agriculture Minister Carlos Fávaro’s agenda during talks with Chinese authorities.

“This is a very opportune moment for Brazil to position itself, as two global powers are hitting each other with tariffs,” said Guilherme Nolasco, president of Unem. “This opens opportunities, and we must be ready to play. Brazil is the reliable alternative for food and energy supply.” He noted that Brazil’s efforts to sell DDG and ethanol to China began before Donald Trump returned to the U.S. presidency.

Brazilian orange juice exporters, meanwhile, are pushing for a tariff adjustment that would provide greater predictability in trade relations with China and potentially encourage future Brazilian investments in the country.

Currently, there are two export tax rates for orange juice—7.5% and 20%—depending on the temperature at which the product arrives at Chinese ports. The industry is seeking to unify the tariff at 7.5%, even though this lower rate currently results in higher energy and logistics costs.

*By Rafael Walendorff, Globo Rural — Brasília

Source: Valor International

https://valorinternational.globo.com/