Corn and logistics may push agribusinesses out of Santa Catarina
Solving the issue of "corn and logistics" is the requirement to keep agribusinesses in Santa Catarina. The state imports the cereal from central Brazil by road, and its cost is destroying the competitiveness of the state’s meat processing industry, says the president of the Santa Catarina Poultry Farming Association (Acav), Clever Pirola Avila, who is concerned about the effects resulting from the high cost transporting corn which comes mainly from Mato Grosso.
"In the short term, we are paying the market price plus a significant logistics cost. But in the long term, we are making the state government aware that it needs to adopt a strategic plan for the agricultural industry which, in this specific regard, includes the encouraging of the construction of silos and warehouses in the corn belt, for the corn produced here," says Avila.
Avila stressed the importance of investment in infrastructure, especially railways connecting Central Brazil to Santa Catarina and the coast to the west of Santa Catarina. He recalls that Marfrig has already closed a poultry slaughtering plant in Jaragua do Sul. Among the reasons for it was the distance between the corn produced in the Center-West and the feed plant, which made the process expensive. He warns that other companies may follow suit.
Information provided by the São Joaquin Online News Agency