Brazilian honey industry is grappling with uncertainty as U.S. President Donald Trump has threated to impose steep tariffs on Brazilian imports, prompting suppliers to halt shipments.
On July 9, Trump announced plans to impose 50 percent tariffs on all goods imported from Brazil starting Aug 1, casting shadow over Brazilian honey industry which exports over 80 percent of organic honey to the United States.
Picos in the country's northeastern state of Piaui is a hub for honey production. It is situated in a semi-arid region with rich biodiversity of melliferous plants.
For Casa Apis, a beekeeping cooperative in Picos, the news of impending tariffs has sparked widespread concern.
"We are more or less affected by the tariffs and I am worried about the production line, and unsure if containers already at the port will be shipped. I hope the [tariff] issues could be solved as soon as possible so that our company and others that rely on port exports can operate normally," said Roberto, a worker of Casa Apis.
Warehouses in Picos are filled with barrels of honey destined for the U.S. market. Despite passing quality control tests, shipments are now on hold due to the uncertainty surrounding the tariffs.
Honey barrels from Picos have to be transported over 500 kilometers to the port city of Fortaleza before being shipped to the United States, a journey that takes 15 to 25 days. Those that had reached the port before the tariff announcement are also disrupted.
"Our client requested to suspend the shipment of five containers that had already been at the port because they wanted to wait and see whether this tariff would take effect. If implemented, this measure would make us impossible to operate the business," said Antonio Dantas, general manager of Casa Apis.
Although these containers eventually set off to the United States, the looming deadline hangs heavy over the industry.
"The tariffs are totally unfair because the trade balance is completely in favor of the United States. The tariffs will have a huge impact on the entire honey industry chain. Many companies currently have high inventories and may suffer heavy losses," said Wellington Dantas, the operational manager of the cooperative.
Uncertainty grips Brazilian honey industry as U.S. tariff threat looms
Uncertainty grips Brazilian honey industry as U.S. tariff threat looms
Uncertainty grips Brazilian honey industry as U.S. tariff threat looms
