Beef and offal Coto Makassar, a traditional Indonesian soup. Source: MLA Indonesia market snapshot 2026.

BRAZIL has become Indonesia’s second-largest source of beef offal less than a year after gaining expanded market access, with exports in the first five months of 2026 almost matching Australia’s volumes into one of its most important secondary beef markets.

Between January and May 2026, Brazil exported more than 12,000 tonnes of beef offal to Indonesia, worth US$19.5 million, according to Brazilian Government data.

That made Indonesia Brazil’s second-largest offal customer behind Hong Kong.

Beef offal is a staple of Indonesian cuisine, and Australia has been the dominant supplier since securing zero-tariff access in 2017 under the ASEAN-Australia-New Zealand Free Trade Agreement.

Australia held almost 85 percent of Indonesia’s imported offal market in the 12 months to August 2025, shipping a record 60,541 tonnes swt.

Source: MLA Indonesia beef market snapshot 2026 https://www.mla.com.au/globalassets/mla-corporate/prices–markets/documents/os-markets/red-meat-market-snapshots/2026/indonesia_2025-mla-mi-market-snapshot_290126.pdf

Indonesia remains Australia’s largest offal export market by volume and an important contributor to overall Australian carcase value by providing a commercially viable market for variety meats not typically consumed by domestic buyers.

The latest trade figures underline Brazil’s growing presence in the market.

Brazil’s 12,000 tonnes of offal exports to Indonesia in the first five months of 2026 came close to matching Australia’s 13,688 tonnes over the same period.

Australian shipments from January to May were 27 percent below the corresponding period last year, when exports reached 18,638 tonnes.

Brazil’s footprint in Indonesia’s beef and offal trade has expanded since regaining market access in 2023, with further access granted for bone-in beef and offal in 2025. A total of 52 Brazilian beef establishments are now licensed to export to Indonesia.

That growing access was highlighted in Indonesia’s official 2026 import permit allocations, which granted Brazil 75,000 tonnes of beef quota, while another 75,000 tonnes was left to be shared among all other supplying countries, including Australia.

The permits cover both boxed beef and offal.

Figures published by the Brazilian Government show the country exported more than 106,000 tonnes of bovine offal to 117 destinations between January and May this year, generating US$256 million in revenue.

Offal remains an important protein source in Indonesia, widely used in household cooking, foodservice and food manufacturing. Tongue is among the most popular cuts, featuring prominently in a range of local dishes.

Australia’s Federal Agriculture Minister announced in early May that Indonesia had granted access to an additional five Australian beef plants.

However, despite Federal Government claims the development would deliver new opportunities for Australian red meat, industry sources said the  additional access was offset by the severe restrictions for Australian beef and in permit allocations released earlier in the year.

Indonesia also formally opened its market to live cattle imports from Brazil in 2025 through regulatory changes and public confirmation by senior officials.

However, as of mid-2026, no shipments are known to have taken place, with the long voyage distance and high freight costs viewed as major barriers to commercial viability.

Brazil beef facing deadline to demonstrate compliance with EU regulations

Meanwhile, Brazilian beef exporters have until September 3 to demonstrate they can comply with tougher European Union tougher regulatory requirements including full traceability, sanitary documentation and controls over antimicrobial use.

The EU announced on May 12 that Brazil would be removed from its list of approved exporters of animals and animal products over non-compliance with antimicrobial use rules, on September 3.

Brazilian Association of Meat Exporting Industries said it is working alongside Brazil’s Ministry of Agriculture to address the EU’s requirements by the deadline, while exports to the premium market continue uninterrupted in the meantime.

Brazil shipped 121,111 tonnes of beef to the EU in 2025, up 57 percent year-on-year, generating export revenue of around US$1 billion.