Brazilian meat exporters reroute shipments as Iran conflict disrupts Gulf routes
Strong demand in alternative markets helps steady Brazil’s beef and poultry trade
BRAZIL – Brazil’s beef and chicken exporters are reporting limited immediate disruption from the Iran conflict, even as shipping constraints near the Strait of Hormuz force companies to redirect cargo and absorb higher logistics expenses to maintain supply flows.
The situation has increased exposure risks for Brazil’s leading meat exporters, particularly in the poultry segment, which relies heavily on Middle Eastern buyers.
However, companies say alternative routes and steady demand elsewhere are helping to keep trade stable.
Poultry trade adapts to longer routes
Chicken exporters indicated that deliveries to key Middle Eastern destinations are continuing despite logistical complications, with the Brazilian Animal Protein Association stating that March export volumes are expected to surpass the 476,000 metric tons recorded in the same period last year.
To avoid disruptions, exporters have been rerouting shipments via the Red Sea and Suez Canal while also relying on alternative ports and overland transport networks to supply markets such as Iraq, Qatar and the United Arab Emirates.
These adjustments have resulted in longer transit times and increased operational costs, with expenses linked to fuel, storage, transport and war risk being partially passed on to importers seeking to maintain stock levels.
The Middle East accounted for about 30% of Brazil’s poultry exports in 2025, according to Datagro, yet industry representatives say there is no indication of excess supply building in Brazil despite ongoing adjustments.
Beef sector shifts amid trade pressures
Beef exporters have also reported only a modest impact from the conflict so far.
However, the Brazilian Association of Meat Exporters has warned that any escalation could further increase freight and logistics costs.
At the same time, the sector is navigating China’s safeguard measures on beef imports, which cap access to a 1.1 million-ton quota under lower tariffs, while shipments exceeding that threshold face duties of 55%.
As a result, Brazil has been redirecting beef exports to alternative destinations including the United States, the European Union, Chile and Russia, while tighter global cattle supplies continue to support demand.
In the first two months of 2026, Brazil’s exports of fresh and processed beef, including byproducts, rose 39% in value to US$2.865 billion and increased 22% in volume to 557,240 tons, according to industry data.
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