The soybean crop now reaches 30.4% of the area of 37 million hectares, according to a survey conducted by the consultant Safras & Mercado. Only Santa Catarina and Rio Grande do Sul have not yet begun, says the survey. The most advanced state is still Mato Grosso (74%). If compared with the average rate of 28% of the period, the current national crop is advanced, but behind 40% in the same period last year. The progress in relation to the week ending February 14 was medium, when it was 22%.
The Funding for Soy Farmers in the Cerrado Initiative (FSFCI) launched by Nutreco, Grieg Seafood and Tesco in December has already secured more than $14 million to provide savanna soy producers with financial incentives to ensure that future soy cultivation expansion in the Cerrado biome only is carried out on existing agricultural lands. The exact mechanism by which these funds will be disbursed has not yet been developed. In most of the area traditionally known as “the birthplace of waters”, private landowners under Brazil’s Forest Code can legally deforest up to 80% of their property, that’s as compared to Legal Amazonia, where only around 20% can be legally cleared.
The price of the main products exported by Brazil plummeted after the outbreak of coronavirus in China, the main buyer of Brazilian products, according to BMJ Consultores Associados. Since the second half of January, the price of soybeans fell 5.13%, that of oil 15.5% and iron ore 14.3%. These three products accounted for 78% of Brazil’s foreign sales in 2019, which totalled $177.3 billion.