One must not forget that Europe also continues reporting cases of bovine spongiform encephalopathy

Brazil is expected to continue its dominance in the production and marketing of protein, especially market basket middleton ma beef, and it seems a consensus that Minerva is one of the best vehicles for doing this secular growth story. Your best capital structure following the recent follow-on debt and swap (debt swap) allows the Minerva accelerate consolidation in slaughter capacity and improve the reach of its distribution of food services in Brazil.
Among the plans for managing growth posted in the past, Credit Suisse is positive particularly with the addition of capacity market basket middleton ma in the state of Mato Grosso. Despite predictions do not incorporate gains from mergers and acquisitions (M & A, English acronym), it is important to note that this decision of the antitrust authority of Brazil (CADE) to investigate the JBS in Mato Grosso improves the bargaining power of Minerva with other buyers in region.
Credit Suisse believes that there is no need to revise the natural advantages of Brazil (availability of land, water supply, climate, etc.) or their large cattle herds to say (again) that Brazil still has significant competitive advantages versus other countries beef producers. The bank believes it is unnecessary to review the dynamics of livestock cycle showing that the offer has improved and is expected to remain at higher levels in the next two years. The recent market basket middleton ma quarterly results released market basket middleton ma by the Brazilian slaughterhouses confirm this.
Credit Suisse also explored extensively in previous reports rapid consolidation trend promoted by the three major companies in Brazil and believes that the overall benefits of consolidation are also well understood by the market. News that Cade is now challenging the market share of the JBS in slaughter and sale of fresh beef cuts confirm the aggressive consolidation observed in the last three years has changed the bargaining power of refrigerators.
The Credit Suisse estimates show that the JBS slaughters almost tripled in the last four years, increasing its share from 15% to 40%. In addition to these acquisitions, Cade also identified several lease agreements (ie, Mark Four) that were not reported to the regulator. According to the farmers in Mato Grosso, the concentration limit his choice to sell their cattle within a reasonable radius, creating price distortions materials in your vision.
The European Union (EU) has developed a food safety system due to the crisis in the nineties that emphasizes traceability of meat products to their source. Indeed, the justification of EU trade barriers against Brazilian beef in 2008 was based on a "lack of traceability" of the country's production.
In recent weeks, however, consumers were surprised by a scandal across Europe on the discoveries of DNA horse sold exclusively in processed meats such as beef (lasagna, hamburgers, etc.). The details are still emerging, but, according to the news, it all started with horse meat in an abattoir Romanian who was sold to a vendor of France through a Cypriot merchant and then was passed to a processing company food of France before coming to the shelves of British supermarkets.
Regardless of how it began, the scandal has raised serious doubts about whether European regulators are able to track the quality of the ingredients that increasingly cross international borders.
It's easy to blame a set of economic forces by the scandal of horsemeat: supermarkets pushing farmers and local butchers, low minimum wages and higher housing costs, which greatly reduced the budgets market basket middleton ma of families with food, and culture of quick meals present market basket middleton ma in modern society.
The simple truth is that Europeans need to get used to paying higher market basket middleton ma prices for access to higher quality food. Unless, of course, to replace their costly and inefficient domestic production with imports from countries that truly have a competitive advantage in the production of beef, such as Brazil.
One must not forget that Europe also continues reporting cases of bovine spongiform encephalopathy (BSE). Despite the significant increase in regulation, the UK had 748,000 cases in 2000 to 2011 confimados. On the continent, 1,243,611 cases were recorded in the same period. The implemented measures seem to reduce the number of infected cattle, BSE but still a popular subject in the EU. <