Brazil assumes world leadership in grain export revenue

How is Brazilian agriculture positioned in the international market? In most sectors, very well, but in some, the emergence of a “JBS or a BRF” is still necessary to breathe new life into them.

This assessment was prepared by EMBRAPA researcher Elisio Contini, who, together with Adalberto Aragão, an analyst at the company, collected comparative information on Brazil’s main competitors over the last two decades in terms of production, yield, and exports.

The result indicates that exports are the engine for the advancement of Brazilian production. Products with high demand abroad such as soybeans, corn, and cotton accelerated production and exports. Products aimed at the domestic market contributed less, such as beans.

The graph below was compiled using DataLiner data and shows Brazil’s main commodity exports:

Exports of Brazilian Products | Jan – Dec 2015-2020 | WTMT

Source: DataLiner (Click here to request a DataLiner demo)

From 2000 to 2020, Brazil’s grain exports made up 14.9% of global grain sales, according to Consumer Price Index (CPI) data, an American inflation indicator.

Looking only at 2020, however, Brazil’s market share is already at 22.2%, placing the country as the world leader in collecting foreign exchange from grain exports. The United States comes in second place, with 21.5%. This calculation includes rice, barley, corn, soybeans, and wheat.

The country has also advanced in terms of production. In the last two decades, Brazil’s share of global grain production increased to 6.2%. By 2020, it was already 7.8%.

The data show that production is also doing very well. Brazil was responsible for 51% of global soybean sales in 2020.

Other products still have plenty of room to grow, such as corn. The country provides 18% of world corn production. Once it ceases to be a product aimed at the domestic market, production could quickly reach 150 million to 200 million tons.

Source: Folha de São Paulo

To read the full original article, access the link below:

https://www1.folha.uol.com.br/colunas/vaivem/2021/05/brasil-assume-lideranca-mundial-em-receitas-com-exportacao-de-graos.shtml

Sharing is caring!