China has temporarily slammed the door on beef imports from Brazil following a case of mad cow disease in leading farm state, Mato Grosso.
China spent $US1.5 billion on Brazilian beef last year, totaling 322,400 tonnes, according to local beef exporters association, Abiec.
The export ban triggered a drop in the share price of major Brazilian meat companies including Minerva SA, JBS SA and Marfrig Global Foods.
The Brazilian agriculture ministry has reported the case of atypical mad cow disease in a 17-year-old cow.
The case was considered "atypical" as the animal contracted the BSE protein spontaneously, rather than through the feed supply.
The ministry spokeswoman said Brazil expected the suspension to be lifted quickly as the country is still considered free of mad cow disease by the World Organisation for Animal Health (OIE).
Simon Quilty, a Victorian-based beef export consultant, said Industry sources within Brazil had told him they believed the ban would be short lived with Chinese authorities waiting on official notification from the OIE before lifting the embargo.
"The Chinese Government has asked for a technical explanation from the Brazilian Agriculture Ministry which I believe has already been given - OIE will not change the sanitary status for Brazil as it is a non-typical case," he said.
"The BSE case was found in a 17-year-old beef cow. All BSE-specific risk material has been removed and all products derived from the animal have been identified, located and seized with no product entering the human food chain or ruminants," Mr Quilty said.
"In the last 20 years Brazil has only recorded three cases of atypical BSE and no cases of classical BSE.
"Brazil beef exports to China in the first quarter of 2019 were up six per cent compared with Q1 of 2018 totalling 74,290 tonnes. In the same period Australia shipped 51,831 tonnes of beef to China.
"The impact of this ban I believe will have little or no impact on the market unless the issuing of a statement from the OIE takes weeks instead of days or that China insists on further evidence that the infected animal has not entered the food chain," Mr Quilty said.