HIGH FOOD PRICES, CHINESE DEMAND, AND EXCHANGE RATES BOOST SALES IN THE AGRICULTURAL SECTOR

According to an estimate released on Wednesday by CNA (Brazilian Confederation of Agriculture and Livestock), farm income is forecast to increase 13.7% this year when compared to 2019, reaching a record figure of R$ 823.3 billion. The main factors of the Gross Value increase are the high food prices, the high Chinese demand, and the exchange rate (USD to BRL). The level of revenues achieved this year will provide a growth of 3.5% in the Brazilian agribusiness Gross Domestic Product (GDP). This percentage should be revised upwards by the end of this week. CNA also expects an 18% increase in farmers’ revenues, over R$ 531.6 billion. Soybean revenue should be 23.8% higher in 2020, up 4.3% in production and 18.7% in prices.

Source: Globo

*Translated by Ia Niani