The Gross Value of Agricultural Production (VBP) is estimated at R$ 1.142 trillion in 2021, an increase of 15.8% when compared to last year. The Confederation of Agriculture and Livestock of Brazil (CNA) estimates an increase of 19.0%, with gross sales reaching R$ 759.25 billion. Estimates for the grain harvest are good, up 51.4% in the share of VBP. Also noteworthy is the increase in real prices for soy (25.5%), corn (23.6%), rice (8%) and cottonseed (28.7%). Livestock is expected to increase by 9.8%, with revenue of R$ 383.45 billion. According to CNA, even with the record revenue expected for the agricultural sector, most farmers were unable to commercialize their production at current prices due to early negotiations. The exchange rate depreciation raised the prices of agricultural inputs, pressuring margins.
Source: CNA
*Translated by Ia Niani