Brazil's Supreme Court paves the way for an agreement on the Soy Moratorium.
The court seeks conciliation between producers and trading companies in a lawsuit that discusses the initiative's impact on the market.
The Interstate Tobacco Industry Union (SindiTabaco) released on Monday (March 23) the report "Tobacco 2026: Income and Future", with an updated overview of the sector in Brazil. The document compiles data on export performance in 2025, socioeconomic impacts, and initiatives focused on sustainability and diversification on rural properties.
According to the survey, the country has maintained its world leadership in tobacco exports for 32 years and will set a new record in 2025, exceeding R$ 3,39 billion in foreign exchange earnings. The report also highlights the income-generating potential of the crop in small areas. Data from Afubra, based on the National Supply Company (Conab), indicate that to achieve the same income as one hectare of tobacco, 7,53 hectares of soybeans or 6,58 hectares of corn would be needed.
Internationally, the study highlights the growth of Electronic Smoking Devices (ESDs), already regulated in over 100 countries. In Brazil, the prohibition limits participation in an emerging liquid nicotine market, estimated at over US$320 million annually and projected to grow between 15% and 20% per year, according to Goldman Sachs estimates.
The model of integration between industries and producers remains the basis of the sector, focusing on legal compliance, quality, innovation, and sustainability. Joint action within the National Integration Forum (Foniagro) reinforces the commitment to the Integration Law and to transparent relations between the parties.
In terms of production diversification, initiatives conducted over four decades show that, although producers adopt other activities, tobacco remains central to their income. In the 2024/25 harvest, the crop occupied, on average, 21,4% of the farm area, but accounted for 58,3% of gross revenue.
Environmental actions are also highlighted in the report. The encouragement of eucalyptus planting to supply greenhouses has been ongoing since the 1970s, and currently about a quarter of the properties have forest cover. More efficient technologies have reduced firewood consumption, while contracts require proof of the legal origin of the wood.
Among recent initiatives, the Protected Soil program, in partnership with Embrapa, seeks to improve soil and water management and conservation practices, as well as expand carbon stocks and train producers. The sector also points to a reduction in the use of pesticides, with technical guidance for responsible application, and highlights the reverse logistics of packaging, considered a national benchmark. For 25 years, the program has covered approximately 1,8 collection points in 385 municipalities, serving approximately 108 producers.
In the social area, health and safety initiatives include technical assistance, training, and educational campaigns focused on the use of protective equipment and best practices in the field. The Instituto Crescer Legal develops training programs for rural youth, focusing on management and entrepreneurship, as well as initiatives aimed at valuing the presence of women and education in rural areas.
According to the president of SindiTabaco, Valmor Thesing, the results reflect a model consolidated over decades. "This result is the fruit of a system that guarantees quality, innovation, predictability, and technical assistance in the field, fundamental for the competitiveness of Brazilian tobacco in the international arena," he states. He also highlights the concern about the growth of the illegal market and the search for new opportunities to add value in the producing regions.
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