‎Brazil News

 

Rural producers, cooperatives and agribusiness contracted R$64.11 billion in financing in the first two months of the 2021/2022 Harvest Plan operation. The resources are used to finance agricultural, forestry, aquaculture and fishing activities. The favorable performance resulted in an increase of 36% compared to the same period of the previous year, according to the release of the balance of rural credit on Thursday (2) by the Agricultural Policy Secretariat (SPA) of the Ministry of Agriculture, Livestock and Supply ( Map).

 

Resources contracted with investments totaled R$ 18.3 billion, presenting the highest increase (61%). Costing operations totaled R$ 35.99 billion, 25% more compared to the same period last year. Industrialization, on the other hand, reached R$5.8 billion (60%) and sales, R$4 billion (23%).

 

“The beginning of the 2021/2022 harvest, with the contracting of rural credit reaching a significant increase compared to the same period of the previous harvest, reflects some conjunctural factors that, if accounted for, result in favorable prospects for the agricultural sector. Despite the bad weather that hampered the 2020/2021 harvest, optimism prevails and is reflected in the exceptional demand for investments in the modernization of production,” emphasizes the Credit and Information director at the Ministry, Wilson Vaz de Araújo.

 

The number of financing contracts exceeds 242 thousand in costing (up 7%), 220 thousand in investment (3%), 3 thousand in commercialization and 492 contracts in industrialization (76%).

 

Producers included in the National Program for Strengthening Family Agriculture (Pronaf) contracted R$7.9 billion in funding (46%), with more than 177 thousand contracts. In investment, family farmers contracted R$ 4.4 billion (58%), with 184 thousand contracts. For all purposes, family farmers contracted R$ 13.2 billion in financing, an increase of 47% compared to July and August last year, totaling more than 362,000 contracts (6%)

 

The National Program for Support to Medium Producers (Pronamp) presented an increase of 19% in the volume of resources contracted and reached R$ 8.8 billion. Costing contracts for medium producers totaled R$ 7.8 billion (16%) and investments reached R$ 1 billion (45%).

 

The sources of resources most used by financial institutions in contracting credit to producers and their production cooperatives were Mandatory Resources (R$ 21.2 billion), Controlled Rural Savings (R$ 13.7 billion), Free Rural Savings (R$ $11.7 billion) and BNDES/Finame equalizable (R$6.6 billion).

 

The value of credit operations carried out with non-controlled resources, such as LCAs (Agribusiness Letters of Credit), totaled just over R$ 18 billion, an increase of 57%

 

 

 

Category

Agriculture and Livestock

Tags: Rural Credit 2021/2022 Harvest Plan Ministry of Agriculture, Livestock and Supply