In the first four months of 2024, agribusiness in São Paulo contributed significantly to the balance of trade in the State of São Paulo. According to data from the agribusiness sectoral analysis, comparing the period from January to April 2024 with the same period of the previous year, the sector recorded an increase of 18.6% in exports, totaling US$9.37 billion. Imports also showed growth, reaching US$1.86 billion, which represents an increase of 7.5% compared to the previous year.
With these results, the balance of the São Paulo Agribusiness Trade Balance reached a surplus of US$7.51 billion, an increase of 21.7% compared to the first four months of 2023, according to Carlos Nabil Ghobril, coordinator of the Agência Paulista de Tecnologia of Agribusiness and researchers José Alberto Ângelo and Marli Dias Mascarenhas Oliveira, from the Institute of Agricultural Economics (IEA-APTA), from the São Paulo Department of Agriculture and Supply.
For the Secretary of Agriculture and Supply of SP, Guilherme Piai, the sector's favorable result is due to a series of factors, but mainly to the resilience of rural men and women. “We see that even in adverse scenarios, with crop failure, with less attractive commodity prices, rural producers in the State of São Paulo do not fail to carry out their work competently, which guarantees food on the table in different parts of Brazil and the world and , at the same time, it maintains its position as the driving force of São Paulo’s economy” adds Piai.
It is noteworthy that agribusiness exports represented 42.8% of total exports from the state of São Paulo from January to April 2024, while imports from the sector corresponded to 7.8% of the total.
It is important to highlight that exports in other sectors of the São Paulo economy totaled US$12.51 billion and imports reached US$22.10 billion, generating an external deficit of US$9.59 billion in the first four months of 2024, the positive performance of agribusiness state was essential to avoid an even greater deficit.
Agribusiness Exports from São Paulo by Product Groups
The five main groups in exports were:
1. Sugar and alcohol complex: totaling US$3.65 billion, of which sugar represented 89.9% and ethyl alcohol – ethanol, 10.1%.
2. Forest products: reached US$998.52 million, with shares of 53.3% cellulose and 39.9% paper.
3. Meat: registered US$986.35 million, with beef accounting for 83.6%.
4. Soybean complex: totaling US$915.94 million, of which soybeans accounted for 84.9%.
5. Juices: with sales of US$762.63 million, 97.6% of which refer to orange juice.
These five aggregates represented 78.0% of São Paulo's sectoral foreign sales.
The coffee group, a traditional culture in the state of São Paulo, appears in sixth place, with sales of US$399.29 million (73.6% referring to green coffee and 23.1% to soluble coffee).
Also noteworthy is the growth of the fiber and textile products group, whose exports increased by 1,365.6%. The main product was cotton that was not carded or combed, representing 95% of the group. There was a significant increase in exported volume, from 901 tons in the first four months of 2023, to 139 thousand tons in 2024, with shipments predominantly to China, due to the low stock of this product.
The sectoral analysis points out that the first four months of 2024 compared to the same period of 2023, there were important variations in the exported values of the main product groups in São Paulo:
● Increases for groups:
● Sugar and alcohol complex (+79.7%)
● Coffee (+20.4%)
● Forest products (+13.0%)
● Juices (+11.8%)
● Meat (+5.9%)
● Drop in group:
● Soy complex (-43.4%)
These variations in foreign trade revenues are derived from the composition of fluctuations in both prices and exported volumes.
Participation of São Paulo Agribusiness in Brazil
São Paulo's participation in the total Brazilian Trade Balance, considering all sectors of the economy, showed a drop in the first four months of 2024. According to data from the Agribusiness Sector Analysis, the state's exports fell 0.4 percentage points, while imports fell 0. .6 percentage points. Exports represented 20.1% of the national total, while imports reached 29.5% representation.
However, for agribusiness, São Paulo's sectoral exports in the first four months of 2024 represented 17.9% of Brazilian agribusiness, registering an increase of 2.3 percentage points compared to the same period of the previous year. On the other hand, imports fell 1.2 percentage points, closing at 29.2%.
In relation to the main exporting states, São Paulo appears in second position, with a 17.9% share, behind only Mato Grosso (18.6%). Following are the state of Paraná (11.4%), Minas Gerais (9.6%) and Rio Gran from the South (7.5%). Together, these five states represented 64.9% of total Brazilian agribusiness exports in the first four months of 2024.
The participation of São Paulo agribusiness groups in national agribusiness, in the year to April 2024, stood out in the following product groups, whose participation in values exceeds 50% of the national total: juices (84.7%), various food products (72 .2%), other products of plant origin (64.0%) and sugar and alcohol complex (59.5%).
Brazilian Trade Balance
Brazilian agribusiness exports in the first four months of 2024 showed an increase of 3.7% compared to the same period of the previous year, reaching a value of US$52.39 billion, which represents 48.1% of the national total. Imports, in turn, rose 11.8% in the period, registering US$6.36 billion, equivalent to 7.8% of the national total.
The Agribusiness Trade Balance recorded a surplus of US$46.03 billion in the year to April 2024, 2.7% higher compared to the same period in 2023.
Therefore, Brazilian foreign trade was not in deficit only due to the performance of agribusiness. While other sectors of the economy recorded exports of US$56.46 billion and imports of US$74.75 billion, producing a deficit of US$18.29 billion in the first four months of 2024.
