According to the Municipal Agricultural Survey (PAM) 2018, released today by IBGE, the value of Brazilian agricultural production hit a record and reached R $ 343.5 billion in 2018, an increase of 8.3% compared to 2017.
Growth was driven by higher commodity prices such as soybeans (13.6%), cotton (52.3%) and coffee (22%), in a year when the grain crop fell 4.7% and the harvested area 0.5%. Despite the favorable results, the 2017 grain surplus was not exceeded in 2018, mainly due to the 16% decrease in Brazil's corn production.
According to the IBGE, "trade disputes between the United States and China, crop failures in Argentina and Chinese demand for herbaceous cotton have boosted the prices of major Brazilian commodities".
Sao Paulo, Mato Grosso, and Paraná were the states with the highest value of agricultural production in 2018 in Brazil.
