Gross value of agricultural production is expected to fall 3.2% this year, to R$1.2 trillion – Money Times


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Gross value of agricultural production is expected to fall 3.2% this year, to R$ 1.2 trillion (Photo: Fabiano Bastos)

The agricultural Gross Value of Production (VBP) is expected to fall 3.2% this year, reaching R$ 1.239 trillion, estimates the Brazilian Confederation of Agriculture and Livestock (CNA). In 2023, the VBP of agriculture was R$ 1.280 billion, informed the CNA in a technical note released on Friday, 27. The VBP is the gross revenue of rural establishments, considering agricultural and livestock production and the average prices received by rural producers across the country.

The biggest decline tends to be recorded in agriculture, with a predicted reduction of 4% in the VBP, from R$869.7 billion to R$834.6 billion this year. In livestock farming, the VBP is projected by the CNA, at R$404.4 billion at the end of this year, a drop of 1.4% compared to 2023, when the sector recorded R$410.2 billion.

In agriculture, the militarywhich should represent 37.4% of the VBP, with a greater share among crops, tends to record a result 17% lower than that of 2023. “Oilseed prices continue to reduce (-12.9%) and there is a drop in production (-4.7%). In the case of cornthere is also a forecast of a drop in production (-12.3%) and price (-8.4%) in 2024″, noted the CNA, in the note, mentioning that the performance of the cereal tends to decline 19.6 %. On the other hand, an increase of 4.5% in prices and 0.5% in production could boost the VBP of sugar cane by 5% this year, the culture with the third largest share in the VBP of agriculture.

In livestock farming, both cattle breeding cutting in terms of dairy farmingAccording to CNA, there are forecasts of a drop in performance this year, respectively 4.8% and 2%. The results of these chains were affected this year by the 8.8% drop in cattle prices and a 2% drop in beef prices. leite.

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