Brazil is set to become the world’s largest soybean producer within the next ten years, surpassing the United States. This forecast was made by the Food and Agriculture Organization of the United Nations (FAO).
The international organization published a study called Agricultural Outlook 2016-2025, which provides insights into agricultural production worldwide in the coming years.
According to the document, Brazilian production will increase from an average of 89 million tons to 136 million tons.
If this performance is confirmed, it will represent a 52.8% expansion between 2015 and 2025. The study assesses that oilseed production will continue to grow in Latin America, driven by other regions beyond just Brazil.
Argentina and Paraguay will play an important role in this advancement, reaching 70 million tons and 13 million tons, respectively. Currently, the three largest soybean exporters in the world are the United States, Brazil, and Argentina. Together, these three account for 87% of all sales.
Productive Lands
FAO also projects that Brazil and Argentina will be responsible for a considerable part of the increase in production in the field over the next decade. At least 20 million more hectares used for agriculture will be incorporated by these two countries.
The report further indicates that the rise of the dollar against most currencies will strengthen sugar-producing markets, especially in Brazil.
The document assesses that Brazil will regain its status as the world’s largest sugar producer by 2025 – with this advancement, the country will account for 41% of global sugar exports.
Source: Portal Brasil, with information from FAO