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SAO PAULO: Brazil exports more footballers than any other country, but the coronavirus pandemic has a drop in transfers abroad, affecting the finances of clubs that have lucrative agreements for their young talent.
The number of Brazilian footballers moving to foreign clubs fell by 62% in the summer removal window in Europe this year, according to an AFP account based on knowledge of the Transfermarkt website.
From June 1st to September 8th last year, 194 Brazilian club players left to play abroad, either on loan or transferred, to the site.
This year, number only 74.
“The moving market has slowed down. Clubs are looking to spend so much because everyone’s money scenario is complicated,” ESPN commentator Gustavo Hofman said.
Brazil leads the world with 2,742 footballers abroad, striker from Argentina (2330) and France (1740), according to a May report from the Swiss International Centre for Sports Studies.
In the country of Pelé and Neymar, transfers sometimes generate about a quarter of club revenue, only television rights as a source of income.
But the number of transfers is the only thing that has decreased. Amid the monetary uncertainty caused by Covid-19, the amount of cash involved in transactions has also declined.
Last year, the top 3 foreign transfers contributed 77 million euros ($91. 4 million) to Brazilian clubs, including a 45 million euro deal between Real Madrid and Brazil’s Santos for the teenage winger Rodrygo.
This year, the first 3 transfers have contributed less than one million euros to Brazilian clubs. At Portugal’s largest club, Benfica paid the Guild 28 million euros for the striker and Everton’s national team.
The Lisbon club has paid 18 million euros to bring in offensive midfielder Pedrinho from Corinthians.
“In any other year, (Everton) may have brought a higher value from Benfica,” Hofman said.
FRAGILE FINANCES
The recession comes at the worst time imaginable for Brazilian clubs, which already suffer from heavy debts. They are now also recovering from the economic fallout of COVID-19 in the country with the highest death toll in the world, after the United States.
“The club’s monetary fragility has increased due to the pandemic,” said Rodrigo Capelo, sports journalist from Brazilian press space Globo.
The pandemic led the Brazilian government to cancel all football matches for approximately 4 months, breaking the club’s sponsorship, television and ticket sales revenue.
The economic crisis has made transfers abroad as much more exciting as it has made the Brazilian collapse against the dollar and the euro.
This means that the network has more for Brazilian clubs, at a time when they are suffering to reach the end of the month with other revenue resources.
But “European clubs are tightening their belts”, they too are suffering from the economic uncertainties of the pandemic, Agent Edgardo Aguilar said.
The rate of transfers controlled through his company, Soccer Stars Group, fell by 70% this year.
CASCADA EFFECT
It has a waterfall effect in South America.
Normally, Brazil is also a major importer of football talent, but this year, clubs have reduced move-in agreements for players from countries such as Uruguay, Peru and Colombia.
“They were just players who were already in the Brazilian market,” said Colombian agent Carlos Calero of World Sports Management.
Negotiates 3 contracts consistent with the season to send players from other places to South America to Brazilian clubs.
He didn’t do it this year.