Brazil increases its exports to feed the world. Year to date, exports have already reached US$ 72.7 billion, an increase of 19.9% compared to the same period in 2020. In July 2021, Brazilian agricultural exports reached US$ 11.3 billion. This result represented a US$ 10.1 billion surplus in the agribusiness trade balance.
The main product in our agribusiness export line in July 2021 was soybean, with a share of 35.3% and US$ 4.0 billion worth, which represents an increase of 15.3% compared to the same period in 2020. The second main exportation product was fresh beef, which shows a 30.6% increase compared to July 2020 and US$ 902.6 million worth.
When it comes to the most significant increases, plywood stands out (+212.9%), with export sales rising from US$ 55 million in 2020 to US$ 172.2 million in 2021. Raw soybean oil is also a significant product in our export line, having had an increase from US$ 68.9 million in July 2020 to US$ 115.5 million this year (+67.6%). Moreover, orange juice showed a 66.4% increase in its export value.
Our main export destination in July 2021 was China, with a share of 35.2%, followed by the European Union (15%) and the United States (7.4%). Other countries also had remarkable participation: Thailand (2.9%), Japan (2.4%), Vietnam (2.3%), Mexico (1.8%), Indonesia (1.8%), and South Korea (1.7%).
Some destination countries showed a significant performance in July 2021 compared to July 2020. Among these, it is worth mentioning Thailand (+148.0%) and Mexico (+120.7%). When considering the year-to-date until July, the highest positive variation in comparison to the same period in 2020 occurred in exports to Iran (+116.5%), followed by Mexico (+61.1%) and Thailand (+49.7%), all with significant increases in soybean purchases (+US$ 232 mi, +US$ 258,4 mi, and +US$ 311.5 mi, respectively).
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A positive scenario in Brazilian agribusiness
The continuous growth in Brazilian agricultural exports is represented in our last report on the Gross Production Value (GPV). The Brazilian Confederation of Agriculture and Livestock (CNA) estimates that agriculture GPV will reach R$ 1.23 trillion by the end of 2021. This projection is based on reports and data from July 2021.
The projection shows an increase of 10.3% compared to 2020. Soybean and corn remain the major products responsible for the good results. The GPV projection of livestock farming for 2021 is 8.8% higher than the result from 2020, reaching R$ 427.8 billion.
Beef alone is responsible for more than 50% of the GPV of livestock farming. In 2021, the estimated production is 10.4 million tons, 5.4% more than in 2020 (9.9 million tons).