Israeli Agriculture Ministry Blocks Food Company Baladi's Planned Chicken Imports from Brazil

The Israeli Ministry of Agriculture has reversed a previous approval allowing the food company Baladi to import frozen chicken from Brazil. Dr. Sergio Dolev, acting head of the veterinary services, notified Baladi that the Brazilian plant it established will be removed from the list of approved meat exporters to Israel. He stated that Brazil will not be authorized to export chicken meat to Israel at this time. This decision is a significant setback for Baladi, controlled and led by Erez Dehabni, which invested 21 million shekels in the Brazilian facility and had been engaged in a legal battle with the Ministry of Agriculture and the Chief Rabbinate to secure import approval.

Baladi had anticipated starting imports from Brazil by mid-2025, projecting that this would boost its annual revenues by 10% to 15%, potentially adding 300 to 400 million shekels to its expected turnover of 3 billion shekels in the coming years. The company also expected to be the exclusive importer from Brazil for 5 to 15 years. The imports were planned to include mainly boneless frozen chicken products such as schnitzels and chicken thighs. The previous approval was granted by former veterinary services director Tamir Goshen, but the new decision effectively halts Baladi's import plans until it can overturn the ruling.

The Ministry's reversal follows pressure from local poultry producers who oppose imports, with the Israeli Poultry Breeders Association filing a petition against both the Ministry and Baladi. Last month, the Supreme Court set a 120-day deadline for the Chief Rabbinate to approve the import from Brazil by resolving kosher certification issues. However, without the Ministry of Agriculture's approval, imports cannot proceed, rendering the court's deadline moot for now.

Baladi had expressed optimism in its Q1 financial report, noting its petition to the Supreme Court to compel the Chief Rabbinate to establish import regulations and approve its Brazilian plant under specific kosher conditions. Brazil is the world's largest chicken exporter, accounting for 38% of global exports, while Israel is among the largest importers, consuming about 50 kilograms per capita annually. Industry sources note that poultry is a primary protein source in Israel due to limited grazing land, fishing areas, and the absence of pork consumption.

The Ministry's decision marks a major obstacle for Baladi's expansion plans and highlights ongoing tensions between local producers and importers over market competition and regulatory approvals.