Brazilian Agricultural Production Value Set to Decline in 2024

The CNA predicts challenges for Brazil’s agriculture, forecasting a 3.2% decline in Gross Production Value for 2024.

This decline will bring the total GPV to R$1.239 trillion ($237 billion), down from R$1.280 trillion in 2023. The agricultural segment expects the most significant drop, with a 4% reduction in GPV.

This decrease translates to a fall from R$869.7 billion to R$834.6 billion. The livestock sector also anticipates a downturn, albeit smaller, with a 1.4% decrease to R$ 404.4 billion.

Soybean production, the largest contributor to agricultural GPV at 37.4%, faces a 17% decline compared to 2023.

This drop stems from lower prices (-12.9%) and reduced production (-4.7%). Corn production follows a similar trend, with expected decreases in both output (-12.3%) and price (-8.4%).

However, not all crops face decline. Sugarcane production offers a bright spot, with a projected 5% increase in GPV.

This growth results from higher prices (4.5%) and a slight production increase (0.5%). Sugarcane ranks third in agricultural GPV contribution. The livestock sector encounters its own challenges.

Beef cattle and dairy farming anticipate declines of 4.8% and 2% respectively. These reductions stem from price drops, with beef prices falling 8.8% and milk prices decreasing by 2%.

This forecast highlights the complex dynamics affecting Brazil’s agricultural sector in 2024. Farmers and policymakers must navigate these challenges to maintain the industry’s vital role in the national economy.

Brazilian Agricultural Production Value Set to Decline in 2024