According to Brazil’s Ministry of Agriculture, the country’s agricultural exports have grown by 1.8% compared to last year for the period of January to August, composing 39% of all Brazilian exports in 2012. In August, 2012 alone, agricultural exports sold fro $8.8 billion while imports cost $1.5 billion, continuing a structural trend of large, favorable trade balances for this sector.
Leading the way were the soy products at $21.4 billion, followed by meat products ($10.6 billion), sugar and ethanol based products ($7.8 billion), forestry products ($6 billion), and coffee ($4.1 billion), together these products compose nearly 80% of total agricultural exports in 2012. The fastest growing exports were fiber/textile products at 62.5%, followed by live animals-except fish (53.4%), soy products (20.3%), drinks (17%), and tobacco products (16.1%). These relative export growth trends continue to reveal that the Brazil’s soy production chain continues to grow as a result of mounting worldwide demand. China remains the largest consumer of Brazilian agricultural exports, representing 46.1% of Brazil’s export market. Egypt, Venezuela, Thailand, and South Korea also represent growing markets for Brazilian agricultural exports.
Overall, agricultural exports have contributed to Brazil’s favorable trade balance of $79.1 billion so far for 2012.
These numbers suggest that Brazil will continue to grow through expansion of the agricultural sector, driven by global demand. However, this growth is constrained by the bottlenecks and infrastructure deficit that places a measurable drag on return on investment
For more information contact Carlos Mota, the Communications Specialist for Brazil’s Ministry of Agriculture at: email@example.com