Marcus Lacerda is a longstanding Brazilian agro-industrialist, operating in the states of Mato Grosso, Tocantins, and Bahia. He participated in an open conversation on the state of Brazilian agribusiness, specifically on the environmental and economic outlook.
During this meeting Marcus explained that the Brazilian agribusiness sector is, in its majority, composed by families, with only a few large corporations. He also said that, as opposed to what has been said lately, most newly incorporated lands are degraded pastures which means that the need to clear new forest areas is minimal. According to the Brazilian environmental legislation, lands located inside the Amazon biome must have 80% of their total area preserved and it’s the producer’s responsibility to ensure that.
Another important aspect is in regards to the profitability of the soy production. According to Lacerda, despite its big importance in Brazil’s agribusiness, soy profitability has been declining steadily in the last few years due to price decreases, higher costs associated with the production, like machinery and pesticides and the many logistic challenges Brazil has to deal with. Regardless of this decline in profitability, Brazil’s lands are getting increasingly more efficient due to the several technological advancements the country has been able to achieve.
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