Overall trade between the EU and Brazil fell across 202, with Brazilian exports to the EU falling by 14% on the previous year, and imports to Brazil from the EU down by 13%.
Decreasing trade flows have been noted across many key Brazilian export categories, including agribusiness products such as fruits and beef according to Apex-Brasil, the Brazilian Trade and Investment Promotion Agency.
The agency said this has primarily been a result of the implementation of lockdowns across Europe which forced the closure of the European hospitality industry and trade fairs.
Brazilian fruit exports to the EU fell by €5.2m in 2020, however, toward the end of the year, Brazil recovered strong export performances in key product categories, particularly in the case of Brazilian fruits such as mangos and melons.
Brazilian exports of beef and poultry meat to the EU fell by €72.89m in 2020, caused as a result of strong demand in Asia resulting in trade diversion from Europe as well as outbreaks of African Swine Fever in China and Vietnam. Meat shortages have kept prices high throughout the year.
Apex-Brasil commented: “In a year shaped by economic hardship, 2020 has taught us valuable lessons, namely that during crises we must resist the urge to impose trade barriers. Brazil and its trade partners in the EU and UK must do our utmost to maintain and grow trade and investment flows in 2021 and spur the much-needed economy recovery. Apex-Brasil remains optimistic that these trends can be reversed as we head into 2021 and that Brazil and its trade partners around the world will continue to encourage trade and investment as the surest way to recover from the economic turbulence of last year.”