Brasília - The Gross Domestic Product (GDP) of Brazilian agribusiness will grow approximately 2.8% this year. Less, therefore, than the economy as a whole, which financial markets expect to grow 3.8%, and less than the sector's 6.2% growth in 2003. This information comes from the head of the Foreign Trade Department of the Brazilian Confederation of Agriculture (CNA), Antônio Donizeti Beraldo.

According to Beraldo, the "slower pace" of agribusiness in 2004 is the consequence of crop losses, due mainly to climatic factors, and problems with soybean sales abroad.

Nevertheless, the head of the CNA's Economic Department, Getúlio Pernambuco, predicts that this year's agribusiness surplus will amount to US$ 30 billion. He bases this projection on the cumulative surplus of US$ 19.44 billion for the period between January and July, 44% more than the US$ 13.49 billion registered over the same period last year.

Once again the outstanding export performers are soybeans and meat. While sales for the soybean complex have already reached US$ 6.5 billion this year, exports of beef, pork, and chicken totaled US$ 3.3 billion. Beraldo pointed out, however, that other segments, such as cotton and wheat, are gaining space in the agricultural sales portfolio.

According to him, sugar and alcohol exports also rose, totaling US$ 1.6 billion through July, 60% more than last year during the same period.

Agência Brasil
Reporter: Stenio Ribeiro
Translator: David Silberstein
08/23/2004