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Knowing what agribusiness is is essential to understanding how this sector leverages the Brazilian economy. Understand the importance of agribusiness and its main challenges.
With a strong impact on the economy, the environment and people's lives, understanding what agribusiness is is essential to understanding the strategic role this sector plays both in Brazil and on the international stage. More than just planting and harvesting, agribusiness involves a complex chain of production, processing, distribution and export of food, fiber and energy.
In Brazil, agribusiness is considered one of the pillars of the national economy. Its presence is present in practically every aspect of daily life — from the food that reaches the table to the renewable fuels that power vehicles and generate energy.
In this article, you will understand what agribusiness is, its importance for the Brazilian and global economy, as well as the main challenges currently faced by this sector.
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Understand what agribusiness is and how this production chain works
Agribusiness is the set of economic activities related to agricultural and livestock production, going far beyond the field. It ranges from the supply of inputs (such as seeds, fertilizers and pesticides), through primary production (planting, harvesting, animal breeding), to industrial processing, transportation, marketing and export of agricultural products.
This sector integrates diverse agents, such as small farmers, large agribusiness companies, transport companies, supermarket chains, cooperatives and exporters. Each link in this chain is interdependent and essential to ensure the efficient functioning of modern agribusiness.
Operation begins with agricultural inputs, continues with rural production, and then goes through food processing, fabrics and biofuels, and ends with distribution. This structure requires robust logistics, public policies, access to rural credit, cutting-edge technology and integration with foreign trade.
The importance of agribusiness goes far beyond food production
When we talk about the importance of agribusiness, the first thought usually goes to its role in food production. But the sector is much more than that. It is responsible for around 24% of Brazil's Gross Domestic Product (GDP), according to data from 2023, in addition to accounting for a significant portion of exports and job creation.
It is estimated that one in three jobs in Brazil is directly or indirectly linked to agribusiness. This high share strengthens the trade balance, positioning the country among the largest global exporters of products such as soybeans, corn, beef, coffee, cotton and ethanol.
Another key aspect is food security. Large-scale food production ensures the supply of cities and helps to keep prices under control, contributing to economic and social stability. Brazil, for example, feeds more than a billion people around the world, consolidating itself as one of the largest breadbaskets on the planet.
The main challenges faced by Brazilian agribusiness in 2025
Despite its economic strength, Brazilian agribusiness faces urgent challenges that cannot be ignored. The most debated of these is its environmental impact, especially deforestation in areas such as the Amazon and Cerrado, often driven by the uncontrolled expansion of agricultural frontiers.
The intensive use of pesticides also raises concerns regarding public health and the contamination of soil, rivers and food. Recent studies indicate that prolonged exposure to pesticides can cause serious damage to biodiversity and human health, requiring greater monitoring and sustainable alternatives.
Furthermore, dependence on monocultures, such as soybeans and corn, reduces the genetic diversity of crops and increases the system's vulnerability to pests, diseases and climate change. Land concentration, with large estates dominating production, makes it difficult for small and medium-sized rural producers to compete.
Another sensitive issue involves agrarian conflicts. Indigenous, quilombola and traditional communities continue to face pressure over their territories, often in disputes with large agribusiness projects, which raises debates about social justice, land rights and cultural preservation.
Paths towards a more sustainable and inclusive agribusiness
In the face of these challenges, there is a growing demand for a more balanced agribusiness that combines productivity with socio-environmental responsibility. This includes encouraging regenerative agriculture practices, the use of precision technologies, agroforestry, crop diversification and the appreciation of family production.
Companies in the sector have already been adopting solutions based on ESG (Environmental, Social and Governance), expanding the use of clean energy, product traceability and sustainable certifications to meet the demands of the international market and society.
The future of Brazilian agribusiness therefore requires a transformation that must reconcile productive efficiency with environmental preservation and social inclusion. This is the way for the sector to continue being one of the drivers of the economy, without compromising future generations.
