A fleet of John Deere combines harvests soybeans in Mato Grosso, Brazil.
Supply Chain, Logistics, Disease Challenges Test Mettle of Brazilian Soybean Farmers STORIES AND PHOTOS BY AARON PUTZE, APR
T
he only gulf between the fortunes of Brazilian and U.S. soybean farmers is of the geographical variety. Supply chain squeezes, rising input costs, competition for land, logistical challenges and disease pressures are challenges for Iowa and U.S. oilseed producers. They also adversely affect the present and future aspirations of soybean producers in Mato Grosso, the most prolific soybeanproducing region on the planet. “The challenges are the same, but perhaps on different scales and priority,” says Ricardo Silva, a farmer from the Brazilian state responsible for nearly one-third of the country’s 2021-22 soybean output. “Competition and challenges don’t always come from farmers in other
countries but next to you in the country in which you live and farm.” Silva, who just completed his 35th soybean harvest near Tangara, hosted several Iowa Soybean Association (ISA) farmer directors and staff for a fact-finding journey into the heart of Brazilian farm country in early February. It included conversations with soybean, cotton, corn and sugarcane farmers, processors, equipment suppliers and representatives of farmer-led associations.
No guarantees Soybean production in Mato Grosso is projected to increase by nearly 65% over the next decade – from 1.4 billion bushels in 2020-21 to 2.2 billion bushels. The bullish outlook comes courtesy of the Federation of Agriculture of Mato Grosso State (FAMATO).
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PART I OF A 2-PART SERIES
Much like the future of Iowa and U.S. soybean farmers, however, projected growth is far from guaranteed. “We have aspirations, but challenges exist that will require much effort,” says Lucas Beber, vice president of Aprosoja, an organization representing the interests of Mato Grosso soybean and corn farmers. “There is optimism about the future, but uncertainty is always present, too.” Beber’s sentiments were shared by several ag officials who met with the ISA delegation comprised of President Robb Ewoldt, District Directors Warren Bachman, Tim Bardole and Brent Swart, and CEO Kirk Leeds. Drought in southern Brazil tempered early predictions of record oilseed
output in Brazil. As soybean harvest winds down in the world’s largest soybeanproducing country, no ag official would go on record with a final soy production total. The consensus, however, was a crop totaling 4.5 – 4.7 billion bushels or 551 – 734 million bushels smaller than what had been forecast last December. “The farmers in Brazil certainly have the capacity to grow large crops,” says Bachman. “But those forecasts can also go awry when the weather doesn’t cooperate, which we know all too well as Iowa farmers.” U.S. commodities markets took notice throughout the delegation’s two-week visit, with cash soybean prices surging more than $1.50 per bushel the week of Feb. 7.
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