By 2028-29, soybean acreage will reach 45 million hectares
Production to Reach 152 Mil MT
Millions upon millions of hectares have been lost to soya farming in the last 30 years.
Technology pushes to increase productivity, reduce deforestation
Farmers should shift their focus from forests to degraded pastures
Brazilian soybean production and conservation initiatives are expected to grow simultaneously. This is in contrast to the perception that the rapid expansion of soybean acreage has threatened Brazil’s fauna and flora through deforestation. Sergio De Zen from the Brazilian Ministry of Agriculture’s Supply Management Company (or CONAB), told S&P Global Platts, in an interview.
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Zen stated to Platts, “The Brazilian farmers are most concerned about potential environmental impacts of deforestation.” “Farmers, who have to deal with volatile market conditions, financial risks, and constant volatility, have realized that they need conservation of natural resources (flora & fauna) to incite steady rainfall and increase productivity.
Brazil is the world’s largest soybeans exporter, producer and exporter. It produced 138 million mt of soybeans in the crop years 2020-21 (September-August) and accounted for approximately 38% global beans supplies.
And that’s not all: The South American agricultural powerhouse will achieve an unprecedented level in beans production over the next few years.
CONAB predicts that Brazil’s soybean production will grow to 152 Million mt in 2028-29. This is an increase of 10% over 2020-21 levels. The planted area will grow 15% to 45 million hectares.
Importantly, the soybean plant area will grow by 109% over the next 20 years, which is the highest ever for any crop. CONAB reported that corn, at 30%, has the second-fastest increase in acreage.
CONAB maintains the soybean acreage increase is primarily composed of degraded grasses, but it also admits that some acreage may be from new land. This could include tropical savannas and forests.
CONAB stated that the conversion of degraded pastureland to soybean land will lead to an increase in soybean area. However, clearing new land for cultivation will also help to increase planted area. It stated that most of the increase in beans acreage will be seen in Mato Grosso and Matopiba (Maranhao. Tocantins. Piaui. and Bahia).
These states also form the eastern frontier to the Amazon rain forest, which is known as the “Gem of the World” for its rich and unique biodiversity. Due to rapid expansion of agricultural and industrial sectors, the forest has been extremely damaged.
Multiple scientific studies show that the destruction of Amazon could accelerate global warming by 55%.
The rapid expansion of Brazilian soybean farming is causing damage to fragile ecosystems, such as the rainforests and the savannas. They fear that soybean cultivation is threatening the natural habitats of central Brazil, causing soil erosion and degradation.
CONAB insists on the fact that laws exist to protect the ecosystem as well as to deter illegal farming practices.
Zen stated, “The Brazilian laws impose conservation areas in each biome. For instance, 80% of the Amazon (rainforest), 35% Cerrado [tropical savanna] are protected areas.” He said that farmers who don’t follow this law could face fines and even lose their lands.
Zen stated, “In Brazil, the environment legislation dictates that only 20% of areas in the Amazon biome may be deforested. However, proper authorization from the local authorities is costly and difficult to get.”
CONAB acknowledges that soybean farming can lead to some deforestation.
Research has shown that soybean cultivation has destroyed more than 20 million hectares of Brazil’s forest cover over the past 30 years.
Zen stated that the topic of debate is whether deforestation should be reduced or eliminated completely. He stated that this (deforestation), was one of many reasons for Brazil’s introduction of technology to improve soybean productivity.
CONAB says that rather than deforestation the Brazilian soybean farming community is now focusing on converting degraded grasslands into beans farmlands.
Zen stated, “The potential for productivity on pastures is immense and does not impact livestock product at all.” He stated that Brazil is looking to increase productivity by using degraded areas, new production technology, and particularly the planting second and third crops.
CONAB recognizes that there has been a lot of demand for sustainable agriculture in Brazil’s soybeans sector.
Zen stated that the cycle of land use over the 12 months of the calendar year is a great example of sustainability in Brazilian agriculture. Zen said that the productive circle begins with soybeans at end of September and changes to corn in February. Then it becomes pasture in July.”
Zen stated that this increases land availability and decreases the need to search for new areas. “It also reduces soil erosion from the tropical rains, optimizes fertilers and correctives and reduces the use chemical pest controls,” Zen said.
There has been talk of increased collaboration between Brazil’s government and large Brazilian agricultural conglomerates, like Bunge, Cargill and ADM on climate change issues.
CONAB sees this as an opportunity for CONAB to lead conservation initiatives.
Zen said that these companies are welcome at CONAB’s resources to make Brazil’s farming more sustainable.
