Brazil Is the World’s Largest Cotton Exporter
40% of soybean production in 2024, equivalent to 20.392 million tonnes, has not been sold yet due to farmers’ strategy of prioritizing corn sales to ensure immediate liquidity. The total unpriced grains amount to 25.205 million tonnes, with soybeans accounting for 81% of this quantity. (CIARA; CEC)
Joint study by the Entre Ríos Grain Exchange (Bolsacer) and the National University of Entre Ríos (UNER) reveals that, despite historical yields, soybean farming does not cover production costs in Entre Ríos. Wheat, on the other hand, covers 88% of costs on owned land and 76% with leasing. The study highlights that operational costs account for about 51% of the total, and the downward trend in prices since 2022 worsens the economic situation for soybeans and wheat in the region. (Bolsacer; UNER)
Agricultural organizations in Córdoba have called on the national government for an immediate review of the retention taxes, stating the extension of this tax threatens the survival of farmers. They also requested long-term agricultural policies to ensure the sustainability of the sector. (Coninagro; Sociedad Rural; Agrarian Federation; Cartez)
In December 2024, the lack of rainfall negatively impacted the water conditions for soybeans and corn in Argentina, especially in northern Buenos Aires, where 50% of the region has low or dry soil water reserves. The Buenos Aires Grain Exchange reduced the soybean planting forecast by 200,000 hectares, and early corn is facing difficulties due to the drought. (Buenos Aires Grain Exchange)
In Formosa, the banana planted area was reduced from 1,000 to 500 hectares in 2024, mainly due to climatic factors. Around 300 families are facing high costs and losses, with many resorting to destroying plantations. (Argentine Agrarian Federation)
2023/24 harvest was the third consecutive year of growth in Brazil’s cotton production. Planted area of 1.9 million hectares, yield of 1.8 tonnes/ha and production of 3.7 million tonnes of cotton in the fiber. As a result, Brazil has solidified its position as the world’s largest cotton exporter, with China standing out as the top consumer (consumidor , accounting for 49% of the national production. (Abrapa; Scot Consultoria; Itaú BBA)
Rodobens reported a 70% increase in pre-purchase financing pool sales aimed at the agribusiness sector, especially in machinery and trucks. (Rodobens)
2024/25 sugarcane harvest in the North and Northeast reached 39.97 million tonnes until December 15, an increase of 2.4% compared to the same period of the previous year. The Northeast mills processed 32.64 million tonnes (81.67% of the total), while the North mills processed 7.32 million tonnes (18.31%). Sugar production grew by 15.1%, totaling 2.51 million tonnes, and hydrated ethanol saw a 26.9% increase, reaching 1.02 billion liters. (NovaBio)
Brazil’s coffee supply for 2025 is expected to decline due to climatic factors, decreased harvests and port infrastructure. (Conab; Ceagesp)
BNDES approved financing of US$ 164,2 million for Raízen to build a second-generation ethanol (E2G) plant in the State of São Paulo, with an annual capacity of 82 million liters. The project is expected to generate 1,500 jobs during construction and 200 jobs per plant during operation. (BNDES; Raízen)
Minister Gilmar Mendes, of the Brazilian Supreme Federal Court (STF), has suspended all processes related to the subrogation of Funrural, which requires the buyer of rural production to pay the contribution on behalf of the farmer. The preliminary ruling, effective immediately, applies to all taxpayers, except for cases already finalized with res judicata. This measure brings relief to companies under tax enforcement, providing legal certainty until the Court’s final decision. (Abrafrigo)
In 2024, the federal government invested US$ 1.86 billion in family farming, with a highlight on the Mais Alimentos program, which grew by 46% in the number of credit operations, increasing from 187,000 in 2023 to 274,000. The Food Acquisition Program (PAA) and the National School Feeding Program (PNAE) increased farmers’ income by up to 106%, especially benefiting those with lower incomes. (Ipea; Ministry of Agrarian Development)
Brazilian agribusiness exports totaled US$ 164.4 billion in 2024, the second-highest value in history, representing 49% of the country’s exports. This total represents US$ 2.18 billion less than in 2023, or a decrease of 1.3%. (Conab; Mapa)
National Economic Prosecutor’s Office (FNE) concluded the investigation about potato market in Chile, initiated in August 2023 following reports of excessive price increases, and determined there was no abuse of dominant position. However, the FNE identified significant gaps in market transparency, recommending that the Ministry of Agriculture amend Law No. 19147 to allow the Office of Agricultural Studies and Policies (ODEPA) to collect and publish mandatory information on prices and participants in the marketing chain. (FNE; Minagri; ODEPA)
The Agricultural and Livestock Service (SAG) of the Los Lagos region has reinforced the call to intensify sanitary surveillance due to the H5N1 avian influenza. Although the country has not yet recorded any infection, regional director Francisco Briones emphasized the need for preventive actions, especially in domestic poultry farming, and warned about the importance of biosafety measures to prevent contact with wild birds. (SAG)
Drop in the price of paddy rice in Colombia has raised concerns among farmers, who are unable to sustain production costs, which may impact the 2025 harvest and the country’s food security. Rice imports increased by 52%. Fedearroz has urged the government to take measures, such as halting imports and reintroducing storage incentives, to protect Colombian producers and ensure the sustainability of the crop. The price of rice paid to producers fell by 12% between 2023 and 2024. (Fedearroz)
In 2024, white corn production reached the lowest level in 12 years, with 23.3 million tonnes, a 17.3% decrease compared to the previous year. The planted area was 7 million hectares, with a notable 26% reduction in the cultivated area during the October-winter cycle. The country faces challenges in maintaining its self-sufficiency in the grain. (Agricultural Market Consulting Group; Ministry of Agriculture and Rural Development)
Lack of traceability in Mexico’s fishery products hinders their commercialization in the international market. The organization Oceana emphasizes the importance of implementing a tracking system from capture to the final consumer, which would help combat illegal fishing and promote good practices. (Oceana; Conapesca; Imipas)
In 2024, Paraguayan beef exports to the US reached 28,310 tonnes, generating US$ 143.8 million, representing 8% of total exports. The country established itself as a reliable supplier, meeting the stringent requirements of the US market. This opened doors to new markets, such as Southeast Asia, Mexico, and Canada. (Senacsa; ARP)
There is 72% probability of occurrence of La Niña between January and February 2025, could cause a rainfall deficit in Paraguay, affecting the Paraguay River basin and the Eastern region, with below-average rainfall. Authorities and unions are warning about the need for adaptation measures, such as optimizing water use and strengthening storage systems. (Mades)
Paraguay’s agriculture ended 2024 with a recovery, highlighted by soybean production of 10.3 million tonnes on 3.6 million hectares, and corn with 3.9 million tonnes on 950,000 hectares. The total production of the 16 main items reached 26.4 million tonnes on 5.7 million hectares. (DCEA; MAG)
In 2024, strawberry exports totaled 34,094 tonnes, generating US$ 62.5 million, with a 4% decrease in volume but a 1% increase in value compared to 2023. In December, shipments amounted to 6,713 tonnes, with a 45% increase in volume and a 32% increase in value. The main destinations were the USA, with 50% of exports, followed by Canada (26%) and Japan (8%). (Fresh Fruit)
In 2023/2024, Peru led global grape exports with a record 622,000 tonnes. (Midagri)
Uruguayan government decided to not declare as essencial the industry of meat processing, despite a request from the Rural Association of Uruguay (ARU), which aimed to resolve the conflict with the Federation of Meat and Related Workers (Foica). Minister of Livestock, Fernando Mattos, explained that declaring it as essential status is not feasible, as there is no risk to public safety or health. The conflict persists with strikes at slaughterhouses. (ARU; Foica)
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