Sugarcane and orange drive 14% increase in the production value of SP
Valor Econômico
With increases in production and prices, the sugar cane, orange intended for the juice, and processed coffee lead the strong growth in the gross value of the agricultural and forest production (VBP, from the "farm-gate to inside") of São Paulo last year. According to preliminary estimates of the Institute of Agricultural Economics (IEA), subject to the State Department of Agriculture, the VBP of São Paulo, the highest in the country, as attest the statistics of the Ministry of Agriculture, amounted to R$ 49.5 billion (US$ 28.1 billion) in 2010, 14.1% more than in 2009.
For the sugarcane, main product of the agribusiness in the State, the value of production was estimated at R$ 20.7 billion (US$ 11.8 billion), 13.6% greater than in the prior year. According to the IEA, the result was determined by increases both in the produced volume and in average market price - 1.2% and 12.3% respectively. "Despite the fall in the investments in 2009, because of the reflexes of the international financial crisis, in 2010 the domestic market grew for sugar and ethanol and helped the perceived performance. In the case of sugar, the reduction in the international offer also helped increase the demand and the prices of the exports", recalls João Sampaio, Secretary of Agriculture of São Paulo.
In the case of beef, second-ranked agricultural product in VBP of São Paulo, the value estimated by the IEA for 2010 was R$ 4.9 billion (US$ 2.8 billion), 4.2% higher than in 2009. The produced volume increased 2.3% while the average price in the year was 1.5% greater. The rapid growth in the production of eucalyptus in the State - in 2010 it increased 19.6% - resulted in an increase of 28.5% of the VBP in the segment compared to 2009, to nearly R$ 4 billion (US$ 2.3 billion). The activity is fairly concentrated in the hands of quite large pulp and paper companies, but it still is a relevant alternative that gained strength, including in land lease.
But perhaps the great highlight of the preliminary survey made by the IEA has been the orange. Driven by the increase in the price of the juice in the international market, the average price of the fruit intended for the industries increased 75.8% last year. The production increased 1.6%, and the combination resulted in growth of 78.6% in the VBP in this front to R$ 3.4 billion. Since the reflexes of such scenario increased the production value of the orange aimed at customers in 71.7%, to nearly R$ 1 billion (US$ 568.2 million), it can be understood that the total VBP of the fruit got to R$ 4.4 billion (US$ 2.5 billion), returning citrus the status lost in 2009, because of the low prices. "It was a year of good news for the orange", says Sampaio. In 2010 the secretary outlined the approach between citrus growers and juice industries for the creation of Consecitrus, an "environment" for the parties to debate the paths of the area. A memorandum of understanding in that regards was signed at the end of last year.
Chicken meat completes the list of the top five agricultural products of São Paulo in production value. According to the IEA, it amounted to R$ 2.3 billion (US$ 1.3 billion) last year, but there was a fall, compared to 2009, of 1.5%, due to a retraction of 8.5% in the prices. The Secretary also stressed out the relevance of the segments of eggs and coffee in the State, at the same time he once again highlighted the progress of the fruits. In number of products, it is possible to say the field in São Paulo continues being one of the most diversified in the country, but the concentration of the VBP still causes concerns, especially because of possible effects on regional economies in crises in one of the anchors.
Alone, sugarcane was responsible for 41.7% of the total value of the agricultural production of the State in 2010, compared to 41.9% in 2009. The participation of the five main products together increased from 69.6% to 71.3%. See more at http://www.iea.sp.gov.br/