MercoPress. South Atlantic News Agency

Brazil's Agriculture GVP 2022, second highest in 34 year period; in 2023 GVP forecast 6,3% higher

The Agriculture ministry said the 2022 index was driven by positive results in several markets, agribusiness exports, and agricultural prices

Brazil’s Gross Value of Agricultural Production (GVP) reached BRL 1.189 trillion in 2022, according to the country’s Ministry of Agriculture with crops generating BRL 814.77 billion and livestock BRL 374.27 billion. This is the second-highest figure on a 34-year-long record.

In a release the ministry said the 2022 index was driven by positive results in several markets, agribusiness exports, and agricultural prices. On the other hand, the factor that most harmed the industry’s performance was the long-standing drought season, especially in Southern Brazil and parts of the Midwest, “which resulted in losses to farmers caused by losses in the production of soybeans, corn, and beans.”

“Cattle farming was also affected due to supply losses, provided by products such as corn, soybeans, and others,” says the document.

The products that stood out last year were cotton, coffee, corn, wheat, and milk. “These five products reached, this year, the highest GVP value in the entire historical series. Prices and quantities produced were the main factors that promoted these products,” explained the agricultural body.

For 2023, the estimated Gross Value of Agricultural Production is 6.3% higher than for 2022 and could reach BRL 1.263 trillion. As a result, crops should have an actual increase of 8.3% and livestock of 1.9%.

The first five prominent products in the 2023 GVP are soybeans, corn, sugarcane, coffee, and cotton, representing 83.7% of the crops’ GVP. Coffee, cotton, and wheat should have a less favorable performance.