Photo/Felipe Hennel Fay, courtesy of SEMP TCL

March 31 (NBD) -- Brazil's Agriculture Minister Carlos Favaro, who landed in Beijing on March 22 alongside a large group of business delegations has been laying the groundwork for several potential agreements between the two countries.

According to the latest news, China and Brazil have reached a deal to trade in their own currencies, ditching the US dollar as an intermediary.

Brazil is the largest exporter of soybeans and chicken meat to China and it is also the Latin American country that absorbs the most Chinese investment. In 2022, China-Brazil bilateral trade amounted to $171.49 billion, up 4.9% year on year.

Felipe Hennel Fay, Vice President of SEMP TCL, told NBD in an interview that Chinese consumer electronics brands have great opportunities in the Brazilian market. In terms of home appliances, Brazilian consumers are looking for large-sized TVs and more exquisite refrigerators, air conditioners and washing machines.

On March 30, Ma Wenfeng, senior analyst at CnAgri.Com, told NBD that Brazil also exports wood and pulp to the Chinese market. Last year, more than 100 Brazilian companies preliminarily obtained qualifications for importing and exporting corn to China. In the future, Brazil is expected to become China’s most important source of corn.

Ma Wenfeng believes that Brazil's experience in large-scale planting is worth learning. Their soybean yield per unit area is much higher than ours. "we should encourage some domestic bulk commodity circulation enterprises with strength and standardized management to establish branches in Brazil."