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Brazil Races to Contain Bird Flu as Trade Bans Threaten Poultry Exports

Efforts intensify to limit avian influenza outbreak to Rio Grande do Sul, while major importers impose sweeping restrictions on Brazilian chicken.

A drone view shows an excavator moving earth next to a hole in the ground at a poultry farm, after Brazil confirmed its first outbreak of bird flu on Friday, triggering protocols for a country-wide trade ban from top buyer China and state-wide restrictions for other major consumers, in Montenegro, Brazil May 17, 2025. REUTERS/Diego Vara
A consumer buys chicken at a local market, in Montenegro, Brazil May 17, 2025. REUTERS/Diego Vara/File Photo
A drone view shows an excavator moving earth next to a hole in the ground at a poultry farm, after Brazil confirmed its first outbreak of bird flu on Friday, triggering protocols for a country-wide trade ban from top buyer China and state-wide restrictions for other major consumers, in Montenegro, Brazil May 17, 2025. REUTERS/Diego Vara
A drone view shows the installations of Vibra Foods, a Brazilian operation backed by Tyson Foods TSN.N, after Brazil's first outbreak of bird flu was identified at a poultry farm supplying Vibra Foods, in Montenegro, Brazil May 16, 2025. REUTERS/Diego Vara

Overview

  • Brazil confirmed its first highly pathogenic avian influenza outbreak on a commercial farm in Montenegro, Rio Grande do Sul, leading to immediate trade bans by China, the EU, and other major buyers.
  • Authorities have destroyed 1.7 million eggs and culled over 17,000 birds as part of containment measures, with a federal-state task force implementing disinfection barriers and property inspections.
  • Eggs traced to other states, including Minas Gerais and Parana, have been destroyed to prevent further spread of the virus.
  • Japan has limited its bans to poultry from Montenegro and live birds from Rio Grande do Sul, while Brazilian officials lobby for similar regionalized restrictions from other importers like China.
  • Analysts warn that delays in containment or easing of trade bans could reduce Brazilian chicken exports by 10–20%, threatening the global poultry market given Brazil's dominance in the sector.