Smithfield Foods to import corn from Brazil
The US meat company Smithfield Foods, the world's largest pork producer, said on Tuesday it will import corn from Brazil. This illustrates the sharp rise in the cost of grain in the United States, which is damaging the meat industry and farmers. Supplies are tight and prices have recently jumped to record levels, because of the worst drought in decades in the Corn Belt.
Analysts have noted that it is very unusual for a producer in the US to import raw materials from South America, as it is rarely cheaper to ship to the eastern United States than to transport corn from the Midwest of the United States by train.
Information provided by Dow Jones