Arabica Coffee Prices Increased by 38% in November of 2024 in Brazil
Luis Caputo, Minister of Economy, says that Argentina will be the country whose economy will grow the most over the next three decades. The government seeks investment in the energy and mining sectors and promises an end to exchange rate restrictions by 2025. “I don’t really believe in economic miracles. I believe that economic results are nothing other than the consequence of economic policies. And if Argentina did so badly in the last 123 years it was because it made bad economic decisions”, said the minister. (Ministry of Economy)
Sugar sector was the production highlight in the country, with an increase of 629.8%, reaching US$ 322.6 million from November of 2023 to October of 2024, followed by cotton sector, with an increase of 159.2% and exports of US$ 198.4 million. (Argentine Confederation of Medium-Sized Enterprises)
Poultry exports grew by 20% in volume and 26% in value, reaching 154,000 tonnes and US$ 185 million. (Secretariat of Agriculture)
Approximately 24% of the sugar and ethanol millers are bankrupt or are under bankruptcy protection (similar to US Chapter 11), being 107 out of 446 miller plants in Brazil. Of these, 79 are undergoing a bankruptcy protection processes. “The situation of low sugar and ethanol prices, leverage and credit suffocation generated this very strong growth in bankruptcy protection requests. Many groups had to file for bankruptcy, many sold their plants. A few have recently started to leave bankruptcy protection process, but those are still a minority”, said Arruda Pinto, director of RPA Consultoria. (Conab; RPA Consultoria)
Soybean imports by the European Union grew by 12% in 2024. There was also a 29% increase in soybean bran imports, reaching 8.15 million tonnes. Brazil is the main origin of soybean and bran imported by the EU so far, representing around 45% and 50% of its imports, respectively. (European Commission)
B&F Agro, focused on grains and agri inputs, entered bankruptcy protection (similar to US Chapter 11) with debts of US$ 63.2 million owed to 317 creditors. The group, which had a revenue of US$ 55.1 million in 2023, has until 01/27/2025 to submit a recovery plan. (B&F Agro)
Arabica coffee prices increased by US$ 87.20/bag (38%) in November of 2024, with the monthly average reaching US$ 294.80/bag of 60 kg, the highest since 1998. (Cepea)
Federal Government has announced investments of US$ 90.4 billion for the agro-industry, with US$ 6.81 billion in public credit until 2026. Other funding will come from institutions such as the National Development Bank, Caixa, Finep, Banco do Nordeste, Banco da Amazônia and Embrapii. (MDIC)
Brazilian agricultural GDP is expected to fall by 0.8% in 2024, impacted by the 0.9% drop in the 3Q. (CNA)
Sactioned a law authorizing discounts of up to 60% on rural credit installments for farmers in the State of Rio Grande do Sul that were affected by the floods from April to May of 2024. (Federal Government)
Rice prices decreased by 14% in November, closing at US$ 16.90 per 50 kg bag. (Cepea)
Chile and China have signed agreements to expand fruit and meat exports. “These will allow the shipment of fresh fruit through ports and airports in third countries, shortening transfer time and thus ensuring the fruit arrives in the best condition at its destination… In total, we will exceed US$ 12 billion in exports and we will create 500,000 jobs“, said Esteban Valenzuela, Minister of Agriculture. (Minagri)
Chilean government has announced a plan for 40,000 km of firebreaks, but lack of technical support from governors makes it difficult to implement effective preventive measures. (Ministry of Public Works)
Government appointed Helga María Rivas Ardila, Minister of Housing, as Minister of Finance and Agriculture, following the involvement of Finance Minister Ricardo Bonilla in the National Disaster Risk Management Unit corruption scandal. (Ministry of Finance and Agriculture)
Beef exports have increased, reaching annual highs and record values. Up to November, exports totaled 319 thousand tonnes, an increase of 12%, with revenues exceeding US$ 1.589 billion. Chile is the main destination market (36%), followed by Taiwan (11%), Brazil (9%), the US and Israel (8% each). (Senacsa)
Farmers in San Pedro continue to plant beans, corn, cassava and peanuts despite the prolonged drought that has damaged production and reduced the area of sesame. (Agricultural Extension Directorate)
The Government and Agrobanco have signed an agreement to provide US$ 802.5 million in credit to small farmers from 2025 to 2027. The challenge is to “reach a greater number of farmers through new financial products for access to agricultural machinery, irrigation technology, wells and pumps for irrigation”, said Angel Manero, Minister of Agriculture. (Midagri)
READ MORE: