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In About Five Years, Brazilian Farmers’ Expenses with Fertilizer Imports Jumped by Almost 200%. Thus, It Went from US$ 8.59 Billion in 2018 to About US$ 24.76 Billion in 2022.
Thus, last year was responsible for establishing a new level in terms of annual expenditures on fertilizers imports. However, it exceeded the then-record of 2021 by more than 9 billion dollars, which was when the amounts spent reached US$ 15.14 billion.
Even with the spending increasing from one year to the next, the volume of inputs imported by Brazil fell. This is because in 2021, purchases totaled more than 41.55 million tons. In the year prior to that, however, the total was around 38.19 million tons of fertilizers.
That is, in 2022, Brazil paid more to get a smaller volume of fertilizers. This issue was highlighted by the content director of Canal Rural, Giovani Ferreira. He explained the subject this week in the edition of the ‘AgroExport’ newsletter.
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“With an 8% smaller volume, we spent 60% more. We spent almost US$ 25 billion to buy fewer fertilizers,” Ferreira highlighted during his participation in the ‘Mercado & Companhia’ newscast this Tuesday (24). “The cost of production has increased, one of the major pains of agribusiness,” he continued.
Fertilizer Imports: Outlook for 2023
Upon providing the information that, until 2021, the average price per ton of fertilizers was traded for about US$ 350.00, Giovani Ferreira recalled that the value almost doubled in 2022. Thus, the year closed with an average trading price around US$ 600.00. With this level, he stated that: “inputs will continue to affect the production costs of Brazilian agribusiness in the current harvest.”
Similarly, imports of fertilizers by Brazil started to heat up in 2023. In this regard, Ferreira informed during a conversation with presenter Pryscilla Paiva that the Port of Paranaguá (PR) had the largest discharge of fertilizers in its history last week.
“There were 73,000 tons in a single load. That’s a complete Panamax ship,” asserted the content director of Canal Rural. Thus, he concluded that the situation that occurred in Paranaguá is not isolated.
He also emphasized, however, that Brazil is expected to register this month the same volume of fertilizer imports as January 2022. “This is a sign that the market is heating up,” he concluded emphasizing.
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