The Brazilian economy and meat production in the country experienced tremendous growth from 2000-2012, however, growth slowed from 2012-2014 and the economy has been contracting ever since. On a positive note, Gross Domestic Product (GDP) was expected to shrink by 6% in the first quarter of 2016, but GDP only shrank by 5.4%. Not surprisingly, Brazil’s credit rating has been lowered to “Junk” status by Standard and Poors, and Moody’s. Here’s hoping that Brazil’s economy comes back in from the cold before they experience more shrinkage.
In 2015, about 7% of Brazilian exports were meat (including processed fresh beef, pork and poultry). This went down by more than 5% compared to the year before. The amount of meat exports have actually increased. However, because the currency of Brazil (the Real) is worth less, the value of the meat exports is shrinking. As the Real continues to lose value, domestic spending power is down and people are consuming less of the delicious Churrasco, Feijoada, and other meat heavy delicacies for which Brazilian cuisine is famous.
A Drought has Slowed The Brazilian Economy And Meat Production
Adding insult to injury, drought has severely affected corn production which has in turn lowered chicken, pork, and production. Brazilian framers have begun producing genetically modified corn both as feed for their animals and food for the masses. These modified crops have boosted meat production in recent months, but this increase largely effects exports rather than domestic consumption. Agribusiness is beginning to concentrate on producing GMO cassava. This is because the tropical root is a staple of the Brazilian diet as well as several countries in Africa and Asia.
Many news outlets in America have given focus to the economic turmoil, political unrest, and health concerns with travel to Brazil. So the time to host your own Brazilian-themed Olympics backyard blowout is at hand. A few large skewers of meat rotating over the grill and a nice selection of salads and cassava fries. Add a couple of pitchers of Caipirinha and a little Bossa Nova music. Finish with a flat screen tuned to the Olympic games. And there! You will have a party on your hands to rival Carnival.