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Brazil Business - Brazil

Brazil is the world’s 4th largest grain producer and 2nd largest grain exporter – EMBRAPA

By · June 1, 2021 · 5 min read

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RIO DE JANEIRO, BRAZIL – Brazil is the world’s 4th largest grain producer (rice, barley, soy, corn and wheat), behind China, the United States and India, and accounts for 7.8% of global production. In 2020, it produced 239 million and exported 123 million tons of grain.

Brazil accounts for 50% of the soy market. (Photo internet reproduction)
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This is shown in a study released on Tuesday, June 1, by the Brazilian Agricultural Research Corporation (EMBRAPA), linked to the Ministry of Agriculture. The study’s authors are physicist and data science analyst Adalberto Aragão and researcher Elísio Contini.

The country accounts for 50% of the soy market and in 2020 reached the position of 2nd largest corn exporter, after the United States. It also established itself as the largest producer of sugar and coffee, according to EMBRAPA.

In addition to being the 4th largest producer, Brazil is the world’s 2nd largest grain exporter, with 19% of the international market.

In the past 20 years, exports reached over 1.1 billion tons, representing 12.6% of the total exported worldwide.

“Soy, corn, cotton and meat are the most dynamic products due to growing foreign demand. This is expected to continue in the coming years. Population growth and rising incomes worldwide are the driving forces behind global demand, particularly in Asia, with China and, in the near future, India standing out,” says Contini.

Soy and rice

Between 2000 and 2020, Brazil was the 2nd largest soy producer and exporter. As of last year, it reached 1st place, with 126 million tons produced and 84 million exported.

On the other hand, rice production continues to be a challenge, because the production volume has remained virtually constant since 2000, with no significant increases.

China and India remain the world’s largest rice producers. Brazil ranks 9th, but its production is geared to the domestic market. Only 2% was exported in 2020.

Corn

In 2020, Brazil ranked 3rd in world corn production with 100 million tons (8.2% of the total), surpassed only by the United States and China.

Brazil’s relative position has not changed in the past decades when considering the production of the grain, but it has grown in terms of exports.

In 2020, Brazilian corn producers exported 38 million tons, or 19.8% of the product’s total exports, making it the 2nd largest exporter of the grain, behind only the United States. Last year alone, national corn exports totaled US$6 billion.

Beans and cotton

With respect to beans, Brazil is the 4th world’s largest producer, but it is not among the largest exporters; most of its production is intended for domestic consumption.

China, India and Myanmar were the world’s largest bean producers, accounting for more than 60% of all production in 2020.

“Additionally, they are staples of the Brazilian population, but of low demand when income grows. Rice began an export movement last year to some countries with a production deficit. But the world’s large rice producers protect their market, including with subsidies, which also impacts our production and exports,” he adds.

In relation to cotton, the study showed that despite Brazil ranking 5th in production between 2000 and 2020, when analyzing the Brazilian performance in the past 20 years, an increase in production is perceived, as well as an increase in the product’s exports. In 2020, the country was the 4th largest cotton producer and the 2nd largest exporter, behind only the United States.

Brazil has the largest cattle herd

In 2020, Brazil’s cattle herd was the largest in the world, representing 14.3% of the world herd, with 217 million head, followed by India with 190 million head.

Although the country is the world’s largest cattle producer, when adding poultry and pork production, it ranks 3rd in the world in the international market, with production corresponding to 9.2% in 2020, or 29 million tons, behind China and the United States.

But, in terms of exported meat (beef, pork, and poultry) in 2020, Brazil ranked 2nd, with 7.4 million tons, or 13.4% of the world total.

Between 2000 and 2020, Brazilian meat exports yielded US$265 billion. However, when looking at beef, the country was the world’s largest exporter in 2020, with 2.2 million tons and 14.4% of the international market. Next come Australia, the United States, and India.

Chicken production

Chicken meat is considered an important food for domestic consumption and for exports. Brazil has the 4th largest chicken flock in the world, with 5.6% of the total in 2020, or 1.5 billion heads. The three largest flocks are in China (19.2%), Indonesia (14.7%) and the United States (7.5%).

The United States, despite having the 3rd largest chicken flock, when it comes to chicken meat production in 2020, led with 16.7%, followed by Brazil with 11.8% (14 million tons) and China with 11.7% of world production.

In 2020, Brazil became the largest exporter of poultry meat with 4.3 million tons (20.9%) and the United States came in 2nd with 18.2% of the total volume exported. In 2020, Brazilian poultry meat exports yielded US$6.6 billion.

In relation to the past 20 years, the United States and Brazil have lost share. The Netherlands, Thailand, and Poland gained relevance.

Pork

In relation to pork, Brazil reached 3rd place in world production in 2020, with 41 million head, or 4.4% of the total. The highlight is China with 41.1% of the world herd, followed by the United States (8.4%).

In relation to pork exports, Germany and the United States led in 2020 with shares above 15% of the total each. Brazil ranked 7th in 2020 and 8th in the past two decades, with shares below 5%.

Third largest fruit producer

In 2020, Brazil was the world’s 3rd largest fruit producer, with 58 million tons, 5.4% of the world total. The largest producers were China with 28.1%, followed by India with 11.5%, both with growths in global share.

“The dynamics of the Brazilian agro lies in exports. In the case of fruit exports, Brazil has been evolving, but with little dynamism considering the potential of international trade,” says Contini.

Among the countries exporting the most fruit are Spain, Ecuador, the United States, China, Costa Rica, the Netherlands, Italy, Belgium, the Philippines and South Africa. Although Chile is not among the largest exporters, it is among the countries generating the most revenue with fruit exports, which proves the Chilean product’s high added value.

Brazil exported US$3 billion worth of fruit in 2020, and US$60 billion between 2000 and 2020.

Largest sugar and coffee producer

Brazil’s share in world production has been growing in recent years. In fact, Brazil was the world’s largest producer of sugar, with one third of world production, followed by India with 17%.

Vietnam came in 2nd with 16.9% and with growth compared to the past two decades. Colombia slightly increased its share in production.

Brazil accounted for over a quarter (25.5%) of world coffee exports, selling 2 million tons, followed by Vietnam with 20.2% and Colombia with 10.7%.

The same is true for sugar. In 2020, the country was the world’s largest sugar producer, with one-third of global production, followed by India with 17%. And it also established itself as the largest exporter, with 22 million tons last year, equivalent to 30% of world exports.

Source: G1

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