Rural credit contracts in the first three months of the 2019/2020 crop total R$59bn

The amount contracted for brazilian rural credit operations in the first three months of the 2019/2020 crop (July to September) was R$59bn, up 3% compared to the previous crop (2018/2019). Costing operations totaled R$35.9bn (+ 4%), investment, R$11.9bn (+ 8%), trading, R$6.3bn (-28%), and industrialization, R$4.7bn (+60%).

The highlight in the increase of the contracted value was the costing, which increased R$1.5bn, and the National Program for Supporting the Medium Rural Producer (Pronamp) had the best performance (+29%). To this end, the National Program for the Strengthening of Family Farming (Pronaf) showed a 14% growth in hiring and the credit cost to other producers dropped by 5%.

Regarding investment contracts, there was an increase of R$841m. Highlights are the investment programs ABC (Low Carbon Emission Agriculture) and Inovagro (Incentive Program for Technological Innovation in Agricultural Production) for presenting the highest level of disbursement in the first quarter of the crop (39% and 36%, respectively).

Compared to the 2018/19 crop, brazilian rural credit contracts for sale have shown a 28% decrease in value, despite the 1% increase in the number of contracts.

The figures are part of the Balanço de Financiamento Agropecuário da Safra 2019/2020 (2019/2020 Harvest Agricultural Financing Balance), released this Friday (10/11) by the Secretariat of Agricultural Policy (SPA) of the Ministry of Agriculture, Livestock, and Supply (Mapa), based on data from the Rural Credit Operations System and Proagro (Sicor) of the Central Bank.

Sharing is caring!