From the Newsroom
São Paulo – The agricultural sector increased its participation in the Brazilian Gross Domestic Product (GDP) last year, according to figures supplied by the Brazilian Institute for Geography and Statistics (IBGE). The share has risen from 8.7% in 2002 to 10.2% in 2003.
The sector growth, which had kept to around 8% a year since 1999, increased the value of the agricultural chain to around US$ 47.6 billion in 2003 – last year, this value was US$ 36.2 billion (values calculated according to the dollar/real exchange rate of April 1, 2004).
Agribusiness, all sectors of the economy directly connected to agricultural production and livestock (raw material, production, and distribution), answers to 33.8% of the Brazilian GDP, according to figures supplied by the Institute of Applied Economic Research (IPEA). Apart from that, the sector generates 37% of all jobs in the country, and represents 42% of all Brazilian export.
"Agribusiness is, undoubtedly, the largest business in Brazil," stated Agriculture, Livestock, and Supply minister Roberto Rodrigues. "Agribusiness spins the wheel of our entire economy. It has generated conditions for development and investment in other fundamental sectors, such as industry, trade, and services."
According to the minister, the agricultural area has a relatively immediate advantage when compared to other sectors of the economy. "We must export, increase our trade surplus and consolidate our internal savings. And agribusiness has these characteristics," he stated.
Cars, he exemplified, move around on rubber tyres due to agriculturalists who plant rubber trees, from where latex is collected to produce rubber. Jeans have cotton as their main raw material. Shoes, handbags, belts, and wallets exist thanks to cattle raising, from where you get leather. Underwear and ties would not exist without the cultivation of the plants that feed silkworms. "This is the idea that I am trying to bring into the Brazilian government."
So as to know more about the Brazilian GDP in 2003, go to the IBGE site, at address www.ibge.gov.br/home/presidencia/noticias/31032004pibhtml.shtm (there is an condensed English version).
