VBP will have a record value of R$702 billion in 2020

The Gross Value of Agricultural Production (VBP), which measures the gross revenue of the activity “within the gate”, is expected to break a record of R$ 702.2 billion in 2020, an increase of 10% compared to 2019, according to the estimate of Confederation of Agriculture and Livestock of Brazil (CNA).

The behavior will be driven by the good performance of both agriculture and livestock. After the negative results last year, agricultural activity will grow again with an estimated increase in revenue of 10,7%, totaling R$436.2 billion. The result will be driven mainly by soybeans and corn.

According to the CNA, soybeans should have a VBP of R$169,6 billion, an increase of 11,1%. For corn, the expected revenue is R$84.2 billion, an increase of 25,6% compared to 2019. “Despite the stability in the volume of corn production, the increase in prices justifies the variation and impact of the product on the Agricultural VBP”, informs the entity.

The livestock sector will also expand, according to CNA's assessment, of 8,7% in VBP in 2020 compared to last year, reaching R$266 billion. “The year 2020 should be very positive, particularly for beef and pork, with an increase in production and, mainly, prices”, explains the Confederation.

Beef will see an increase of 20,7% in VBP this year, totaling R$138.8 billion. The pork segment is also expected to grow and increase by 29,2%, reaching R$24 billion.