Brazilian papaya exports to the United States from the state of Espirito Santo have been suspended since Monday 6 August due to federal tax inspectors' strike actions, Brapex reported.
Weekly losses amount to 150,000 US$ (around 303,000 R$), according to the Brazilian Association of Papaya Producers and Exporters (Brapex); an organization representing exporting firms.
Nowadays, four Espirito Santo firms are exporting around 76 weekly tonnes of papaya to the US, with approximately 30,000 US$ changing hands daily. Inspections of all fruit being shipped to the United States are carried out to verify the criteria established in the trade agreement signed by both countries and regulated by a Normative Instruction from the Ministry of Agriculture. "It is a requirement for national papaya exporters. The audit verifies the product's food security, which is based on production procedures and good agricultural practices," explains Rodrigo Martins, president of Brapex.
Martins accepts the validity of the action, but expresses concern for the sector. "Because of strike actions, exports to the US, which is a very important market, are not possible. Without exports, the entire production chain suffers, as fruit demand consequently also falls," Martins pointed out.