News / Food exports ban puts a dent in LatAm-Europe trade just as duty relief arrives

Brazilian shippers have been left fretting after an EU decision to ban their beef exports – following an otherwise strong start to the year for trade between Latin America and Europe, with volumes recording successive months of growth.

Set to take effect in September, the ban was imposed because Brazilian authorities failed to provide sufficient assurances that its livestock producers were not using excessive quantities of anti-microbials, used to promote animal growth.

One forwarder told The Loadstar: “The decision is a nightmare.

“We can still export beef until September, but the sector is definitely concerned. Our government is working to review this decision.”

Asked if they thought government would be able to control the use of anti-microbials and provide assurances to European legislators, the forwarder said: “Yes, I believe so,” adding the Brazilian beef was “the most exported in the world” and of “very high quality”.

But the ban is not just restricted to beef. An EC health spokesperson told Portuguese news outlets it also applied to aquaculture, eggs, honey, horses, and poultry-related produce.

Shippers became aware of the ban with the release of an updated list of countries that comply with the bloc’s rules surrounding anti-microbial use, seeing Brazil’s name removed.

The EC’s health spokesperson told reporters: “As soon as compliance is demonstrated, the EU may authorise or resume exports,” and pointed out that officials were working with Brazil to achieve this as soon as possible, amid strong demand for Brazilian beef – some 10,000 tonnes arriving each month.

Indeed, beef has been one of the major recent success stories on the Latin America-Europe trade, volumes last year having surged some 25% year on year, with forwarders telling The Loadstar it was a key sector for the broader positivity surrounding Latin American growth.

Latest data from Container Trades Statistics (CTS) shows overall Latin America-Europe volumes recorded year-on-year increases across January, February, and March (the most recent data available), when volumes rose 12.6%.

AGL Cargo’s Jackson Campos told The Loadstar: “Volumes between Latin America and the EU are proving okay, and now there is a new agreement between Mercosur and the union that promises to increase movement further.”

Meanwhile, taking effect some 25 years after negotiations began, the EU-Mercosur deal will remove duties on 91% of EU exports, including cars, from the current 35% for 15 years and the progressive removal of duties on 92% of Mercosur exports over 10 years.

Noting that trade between the two blocs already exceeded €100bn in value, Jan Harnisch, CEO of air and ocean at Rhenus, said the deal would “change things in a very concrete way”.

He added: “As volumes grow, the real challenge will be managing complexity across the entire chain. We expect increased pressure on ports, continued adjustments in freight pricing, and a stronger need for multimodal solutions.

“One area that is sometimes underestimated is customs. Lower tariffs don’t necessarily mean fewer hurdles. Rules of origin, quotas, and compliance checks are still very much part of the picture, and they can quickly slow things down or add costs if they’re not handled properly.”

While volumes may have proved strong for Latin American exporters in the opening months of 2026, the year began poorly for European exports headed in the other direction, with two successive months of year-on-year decline.

March arrested that, recording a 3.2% uptick year on year, but there remains work to be done for officials in Brussels, with Latin America sending almost 30% more to Europe than goes the other way.

On the rates side, these have more than doubled following the US/Israel attacks against Iran in late February; Freightos had pricing for 40ft containers going Santos-Rotterdam back down to its pre-war average by April, before experiencing a minor spike at the start of May.

Having hovered around the $1,600 per 40ft mark for most of last month, Freightos is now quoting $2,100 per 40ft on the route, with forwarders telling The Loadstar this uptick was likely due to carriers engaging in capacity control measures.