Agribusiness GDP to grow by 35.9% in 2023 and reach R$ 2.65 trillion
The result is expected to be driven by the primary sector of the agricultural industry, as seen in the first quarter
247 - Calculations by the Center for Advanced Studies in Applied Economics (Cepea/Esalq/USP) and the Brazilian Confederation of Agriculture and Livestock (CNA) released on Tuesday (27) estimated the Gross Domestic Product (GDP) of the Brazilian agribusiness is expected to reach R$ 2.65 trillion this year, a 35.9% increase compared to 2022. These calculations include activities conducted before, within, and beyond the farm gate.
The projected increase is driven by the primary sector, whose GDP is expected to grow by 5.6% to reach R$ 760 billion. Cepea and CNA also project a 0.4% increase in the agribusiness industry's GDP, reaching R$ 609 billion, and a 0.6% increase in the services sector focused on the industry, reaching R$ 1.12 trillion. On the other hand, the input sector's GDP is expected to decrease by 15.7% to R$ 162.7 billion, largely due to a decline in fertilizer prices.
The Safra Plan 2023/24, announced on Tuesday (27), will provide large and medium-scale producers with a total of R$ 364.22 billion in rural credit, a 27% increase compared to the previous year's plan and a record amount for the program. The Family Farming Plan 2023/24, which will be announced on Wednesday (28), will allocate over R$ 75 billion for financing purposes.