USDA study highlights Brazil's leadership in agricultural productivity

Text and image source: BrasilAgro

The Ministry of Agriculture highlighted today a study by the Economic Research Service, an agency of the United States Department of Agriculture (USDA), released in October, which shows that since the 2000s, Brazil has led the world agricultural productivity among 187 countries.

According to José Gasques, general coordinator of Policy and Information Evaluation, of the Agricultural Policy Secretariat (SPA), in recent years Brazil has made several reforms in the financing system, pricing policy, cutting subsidies, rural insurance and other measures impacting agricultural productivity. “Among them, an increase in resources, with an emphasis on investment credit, and several lines of financing were created for commercial and family farming”, he quoted.

According to the research, the product of Brazilian agriculture grew, between 1961 and 2019, 3.75% per year, only below China with 4.41% p.a. The product includes 162 crops, 30 types of animal and insect products and eight aquaculture products. The inputs are land, labor, capital and materials. When the comparison is made from the most recent years, 2000 to 2019, the productivity of Brazilian agriculture increased by 3.18% per year, the highest
rate among the selected countries.

According to the Ministry of Agriculture, between 2000and 2018, for example, the volume of resources for rural credit (costing, investment and marketing) rose 298% in real values, according to the Central Bank. Investments in research, adoption of low-carbon agriculture practices, such as no-till farming and integration systems between crops, livestock and forests, also influenced productivity gains, according to the ministry.

"There is research that shows that no-till can increase the productivity of a corn crop by up to 30%. These systems have brought significant gains in agricultural productivity", says the ministry (Broadcast, 11/25/21)