Brazil is a major agricultural and industrial power and the strongest economy in Latin America and the Caribbean. It is the fourth largest agricultural country in the world, the main producer of coffee, sugar cane and citrus fruits, and the second largest producer of soybeans, beef and poultry.
Brazil has made significant progress in reducing poverty since the early 2000s. Over a period of 20 years, the prevalence of poverty has decreased from 35.8% to 27.6% of the population, while the prevalence of extreme poverty has decreased from 7% to 4%. Although economic and social conditions have improved significantly, Brazil remains a country of great contrasts. Inequality is highest in rural areas, particularly in the semi-arid northeast.
Brazil's agricultural sector is central to global food security. The sector is responsible for approximately 30% of Brazil's GDP and, unlike all other South American economies, the country reports a huge trade surplus, recently acknowledged by the IIF's Chief Economist, Robin Brooks.
In a special interview on the subject, Brooks said: "Brazil's huge trade surplus this year is dismissed as an extraordinary event, but it is not. There is a gradual shift to greater and greater agricultural exports that are feeding the trade surplus." This trade surplus is not a deviation. It is a lasting transformation.”
This year alone, Brazil is expected to once again exceed USD 100 billion in agricultural exports. No other South American economy enjoys the strength of the Brazilian currency, high levels of employment and foreign exchange reserves.
Although Brazil has some unsolved economic problems, thanks to Brazilian farmers, the many companies in the sector, and the Brazilian government at the federal and state levels, Brazil has a solid foundation for wealth creation and equitable distribution of wealth.
Brazil has made significant progress in reducing poverty since the early 2000s. Over a period of 20 years, the prevalence of poverty has decreased from 35.8% to 27.6% of the population, while the prevalence of extreme poverty has decreased from 7% to 4%. Although economic and social conditions have improved significantly, Brazil remains a country of great contrasts. Inequality is highest in rural areas, particularly in the semi-arid northeast.
Brazil's agricultural sector is central to global food security. The sector is responsible for approximately 30% of Brazil's GDP and, unlike all other South American economies, the country reports a huge trade surplus, recently acknowledged by the IIF's Chief Economist, Robin Brooks.
In a special interview on the subject, Brooks said: "Brazil's huge trade surplus this year is dismissed as an extraordinary event, but it is not. There is a gradual shift to greater and greater agricultural exports that are feeding the trade surplus." This trade surplus is not a deviation. It is a lasting transformation.”
This year alone, Brazil is expected to once again exceed USD 100 billion in agricultural exports. No other South American economy enjoys the strength of the Brazilian currency, high levels of employment and foreign exchange reserves.
Although Brazil has some unsolved economic problems, thanks to Brazilian farmers, the many companies in the sector, and the Brazilian government at the federal and state levels, Brazil has a solid foundation for wealth creation and equitable distribution of wealth.
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