Brazil

Trump Administration Celebrates Earth Day by Spotlighting 'Unfair Trade Practices' That Harm Environment

Tue, 22 Apr 2025 15:32:20 GMT

The United States Trade Representative’s (USTR) Office took to social media to celebrate Earth Day, but with a twist. In honor of Earth Day, the Trump administration outlined a list of 10 “unfair trade practices that harm the environment and undercut U.S. producers and exporters.” Of the 10 items on the list, two directly mentioned agriculture.

The No. 1 issue, according to USTR, is deforestation in Brazil. The Trade Representative’s office says deforestation in Brazil reached a 15-year high in 2021, which was driven by “weak environmental regulations and lax law enforcement.” They went on to say that due to those issues, Brazilian ranchers were given an unfair advantage in agricultural production.

“In 2024, the U.S. had an agricultural trade deficit with Brazil of $7 billion. Brazil is a major competitor with the U.S. in soybeans, corn, meat, poultry and other agricultural products,” the official United States Trade Representative’s posted on X on Tuesday.

In honor of #EarthDay, USTR is spotlighting 10 unfair trade practices that harm the environment and undercut U.S. producers and exporters. pic.twitter.com/4xdJfVa1tN
— United States Trade Representative (@USTradeRep) April 22, 2025

To fully understand the issue, you must first understand just how massive the forest area is in Brazil.

Brazil is the fifth largest country in the world with a surface of 850 million hectares. That’s twice as big as the European Union. And nearly two-thirds of that is occupied by forest.

Deforestation has been a long-standing issue within Brazil. In fact, the Brazilian Amazon has the highest rate of deforestation of the planet. The ecosystem, which is known as one of the richest on Earth, is massive. A study based on satellite images by the National Institute for Space Research of Brazil (INPE) found a total loss of 72 million hectares since 1970, or 17% of its total area.

Deforestation Fuels Growth in Brazil’s Beef Production
Deforestation in Brazil is directly tied to agricultural production, really impacting commodities like beef and soybeans.

For beef production, ground zero for deforestation is in the Amazon and Cerrado regions. Cattle ranching is known as a major driver of deforestation, with ranchers often clearing new land for pasture as existing pastures become less productive, leading to a cycle of forest conversion.

The map shows the amount of forests around the world replaced by cattle, which paints the picture of just how severe the situation is in Brazil.

(World Resources Institute )

According to the World Resources Institute, cattle replaced nearly twice as much forest as all other commodities combined. The Institute analyzed seven commodities total, finding cattle pasture now occupies 45.1 million hectares (Mha) of land deforested between 2001 and 2015, accounting for 36% of all tree cover loss associated with agriculture during the time period.

Oil palm ranks second (10.5 Mha), followed by soy (8.2 Mha). The number has only grown since then.

The Role of Deforestation in Brazil’s Growing Soybean Production
When it comes to soy production, deforestation in regions like the Mato Grosso state are linked to deforestation as land is cleared for soy plantations, according to the World Resources Institute.

But it’s not just deforestation leading to the explosion in growth of soybean acres in Brazil. Based on geospatial databases, a recent study led by Embrapa found approximately 70 million acres of planted pastures in Brazil with intermediate and severe levels of degradation that have the potential for conversion into cropland. Pasture degradation is caused by overgrazing, insufficient weed and pest control, and lack of soil fertilization and occurs in practically all regions of Brazil.

The report by Embrapa also found a conversion of 70 million acres of degraded pasture to cropland would represent nearly a 35% increase in Brazil’s total planted area compared with the 2023/2024 crop season projection by the National Supply Company (Conab) – Brazil’s agency for food supply and statistics.

According to University of Illinois farmdoc daily , in Mato Grosso, which is Brazil’s largest agricultural state, the planted area could increase by 25% compared to the 2023/2024 season by converting degraded pastureland into cropland. Currently, soybeans and corn occupy more than 90% of the crop-planted area in Mato Grosso in the double-cropping system.

Additionally, in the Center-West states, the potential for agricultural expansion is notably higher in Mato Grosso do Sul and Goiás, reaching 69% and 67%, respectively, compared to the acreage in the current crop season.
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#7 Environmental Issue on the List: Mexico’s Avacados
The U.S. is the top destination for Mexico’s avocado exports. USTR says in 2023, those exports were valued at $2.7 billion, and some of that production was harvested on illegally deforested lands.

“Some Mexican avocado producers have expanded avocado production to illegally deforested lands, threatening biodiversity and disrupting local ecosystems, including the forest habitat of monarch butterflies,” USTR said on “X.”

Fair Trade USA Serves Up Solutions
It’s a known issue within the produce industry. According to Farm Journal’s The Packer , Fair Trade USA is offering solutions to producers and retailers seeking ways to improve environmental and human rights conditions in the avocado sector.

The Packer reports an estimated one-third of all avocado farms in Mexico are reported to be illegal farms, and up to 70,000 acres in Michoacán and neighboring state of Jalisco have been deforested for avocado farming in the last decade, the release said. Fair Trade USA said water reservoirs are being illegally emptied to support farming, and farmers who speak out against deforestation and working conditions are often at risk.

The organization said western demand for avocados has grown exponentially over the last decade, and people and the planet are paying the price. Forced to keep pace with what farmers call the “avocado gold rush,” negative environmental impacts are rampant in many avocado farming regions — for communities as well as production.

“Fair Trade USA exists to partner with farms, workers, retailers and brands to create safe and fair working conditions and protect the environment,” said Felipe Arango, who was serving as interim CEO for Fair Trade USA. “Strong standards are needed to better the avocado industry, and we are excited to partner with producers to certify more farms and improve the lives of farmers.”

Avocado Institute of Mexico Rolls Out “Path to Sustainability” Plan
The Avocado Institute of Mexico announced their “Path to Sustainability” last week. The plan includes dealing with deforestation. The summary of the plan includes:

Collaboration with governmental authorities to achieve net-zero deforestation by 2035.
The Avocado Landscape Restoration and Reforestation Project, which has planted more than 3.6 million pine trees in the Avocado Landscape.

“We are dedicated to protecting, managing, conserving and restoring forests in the Avocado Landscape to achieve net-zero deforestation,” the Avocado Institute of Mexico said.

Pro-Forest Avocado Program
There’s also another program to help wean Mexican avocado growers off the need to produce avocados on illegally deforested land. According to Grist , there’s a Pro-Forest Avocado program, which is a Mexican initiative to certify sustainably grown avocados. An estimated 10% of avocado packing houses that send avocados to the United States have signed on to the Pro-Forest Avocado program. However, it has roadblocks to increasing participation.

According to Grist, the first is that growers must pay for the certification, while packagers get it for free. This has made many growers feel like they have to comply with standards and pay for them to offload produce at all. There’s a lot of distrust among producers of the government as well.

For this program, qualifying growers must have had no deforestation since 2018, no forest fires since 2012 and not operate on protected land.

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92% of Ag Economists Say the U.S. is Already in the Middle of Another Trade War

Fri, 21 Mar 2025 14:47:55 GMT

President Donald Trump hasn’t been shy about using tariffs as a negotiating tool. As he cracks down on fentanyl and illegal border crossings, he’s also pushing to restore what he calls fairness in U.S. trade relationships and countering non-reciprocal trading arrangements.

The reality for agriculture is the U.S. agricultural trade deficit hit a record in 2024 as imports soared, and Trump says he wants to reverse the trend.

According to the Trump administration, when it comes to tariffs and the impact on the overall economy, long-term gain will be worth the short-term pain. However, when it comes to agriculture, ag economists survyed in the March Ag Economists’ Monthly Monitor don’t agree.

Ninety-two percent of economists think Trump’s strategy of using tariffs as a negotiating tool won’t benefit U.S. agriculture in the long run.

Here are some of those economists’ comments from the most recent Farm Journal Ag Economists’ Monthly Monitor survey.

“Food as a weapon doesn’t have a successful track record, see Jimmy Carter and the 1980s,” responded one economist in the anonymous survey. “It’s not a guarantee as it’s like playing Russian roulette; you might ‘win,’ but the risks are huge.”
“Farm Journal readers should learn about the long-term consequences of Smoot-Hawley. It wasn’t just about the economic costs — it was also about the relational damage between trading partners. I have a hard time believing we will rebuild these relationships any time in the foreseeable future,” another economist said.
“It depends on whether tariffs are used as a negotiating tool with the ultimate goal of reducing trade barriers, or whether they instead result in a world with higher barriers. The president’s emphasis on tariffs as a way to raise revenue suggests tariffs and their consequences may persist,” was another economist’s response in the Monthly Monitor.

However, one economist wasn’t as certain, saying, “For it to be beneficial depends on it being short lived and resulting in trade initiatives with market access or purchase commitments. And in the meantime, action is taken quickly related to Trump’s post to offset trade loss with increased domestic use such as removing dated rules that limit ethanol blends, renewing or creating biofuels production incentives, and adding SAF as a mandated fuel.”

Trade War or No Trade War?
What an overwhelming number of agricultural economists do agree on is that the U.S. is in the midst of another trade war. Ninety-two percent of economists say a trade war is already here, while only 8% responded no.

“I don’t think anyone is arguing with the notion that we are in another ‘trade war,’” one economist said. “This one is far bigger and far more consequential than the last one we were in.”

“It seems more like a trade cold war,” another economist responded. “The situation is ever-changing, and it is hard for buyers, markets and producers to anticipate reality and effect. The threat of tariffs is almost as effective as a tariff.”

As agriculture tries to navigate the turbulence and shocks of another trade war, the ultimate question is: Who wins in a trade war? According to Romel Mostafa, professor of business, economics and public policy for the Ivey Business School in London, Ontario, it’s neither the U.S. or Canada.

“If we think about U.S. and Canada, we both lose,” Mostafa says. “The way our markets are integrated, both from the input side as well as the product side, any tariff really increases cost of production for our farmers all the way to food on the table. What then happens, essentially, some of our products are going to be less competitive in major markets than where we compete. Who then benefits? Perhaps Brazil, Russia or other countries.”

Other agricultural economists agree: If you’re looking at the trade war between the U.S. and Canada or the U.S. and China, it’s not the U.S. who wins, it’s ultimately one of the United States’ biggest competitors: Brazil.

The Ag Economists’ Monthly Monitor asked, “In the next 10 years, which country ultimately benefits the most from the current trade turbulence?” Seventy-three percent of economists think it’s Brazil, and 18% said China.

This Trade War Could Be Worse Than the Last time
Of the agricultural economists surveyed, 69% say they don’t think a trade war today would have the same impact it did 2018 through 2020. Instead, most think it will be worse.

“The trade war in 2018/19 also had the African swine fever in China. Because of ASF, they did not need the soybeans anyway. It will be hard to figure out what impacted the U.S. markets/prices more, but the market reaction should not be as great this time,” said one economist in the monthly survey.

Ag Econoimsts’ Monthly Monitor

(Lindsey Pound)

“It would be a bigger impact,” another economist said. “The first round of trade wars in agriculture were largely used as a wedge for negotiation or renegotiation of agreements that provided improved access and growth opportunities for ag trade. This round seems to be championed based on reshaping the entire trading system, a system that U.S. agriculture largely benefited from over time.”

“There appears to be less willingness by the U.S. taxpayer to provide financial assistance to agricultural producers. That is not to say that financial assistance is absent this go around, but I do believe it increases the uncomfortable situation for producers who largely support less government spending,” one of the respondents shared.

However, other economists think it could have a similar impact, saying the same commodities will be impacted.

Even talk of tariffs is enough to move the markets, as some analysts argue the commodity markets have been ignoring fundamentals, instead trading headlines recently.

The Potential Economic Hit to Ag
The American Farm Bureau (AFBF) economists recently took a deeper dive into the possible impact of reciprocal tariffs. AFBF economists say of the top 20 U.S. agricultural products currently being targeted by Canada, for a total of $5.8 billion, commodities such as juice, coffee and chocolate are hardest hit, along with wine, fresh fruit, dairy products, poultry and rice.

Canada’s retaliatory tariffs

(AFBF)

China’s retaliatory tariffs

(AFBF )

When it comes to China, Beijing has specifically targeted 15 products including beef, cotton, grain sorghum, pork, corn and dairy along with fresh fruit. Economists say while it’s too early to measure the full impact of the tariffs on U.S. agriculture, they believe it will certainly decrease demand for U.S. products in Canada and China.

Market Facilitation Program 2.0?
If agriculture is caught in the middle of another trade war, the March Ag Economists’ Monthly Monitor wanted to know if economists think USDA will compensate farmers for their losses again, similar to what the previous Trump administration did with Market Facilitation Program (MFP) payments.

March Ag Economists’ Monthly Monitor

(Lindsey Pound)

Even though Secretary of Agriculture Brooke Rollins has promised to make farmers whole through another trade war, economists are concerned about available funding. Seventy-seven percent of economists think USDA will compensate farmers, but 23% don’t think so.

“Congress might be the limiting factor,” one economist said.

“They will want to do so, but their ability to do so may be limited. The failure to include replenishment of the Commodity Credit Corporation’s borrowing authority in the continuing resolution limits available CCC funds, and other options may also be limited in potential scope,” another respondent shared.

“The political dynamics appear to be similar,” said another economist. “Amounts are however likely to be less, maybe substantially less, due to the general policy initiative to reduce government spending.”

The Secretary of Agriculture has come out and said they will use these tools if it becomes necessary.

Jam grapes from Brazil offer incremental sales opportunities

Fri, 21 Oct 2022 19:41:34 GMT

Los Angeles-based Pacific Trellis Fruit is ramping up programs for its exclusive black seedless Jam this fall. This black, seedless grape variety with a nice balance of sugar and acidity is grown and imported from Brazil.

“Jam grapes deliver that jam flavor taste and are similar to the Concord variety in flavor and appearance, however, they are 100 percent seedless and have thinner skin,” Josh Leichter, chief executive officer of Pacific Trellis Fruit said in a news release. “They have been very well received by the industry since their introduction as a way to capture incremental sales opportunities in the table grape category and we are very excited to offer this program to our customers.”

The current availability windows in the U.S. market are October through February and then again March through May, with the potential for year-round availability in ideal weather conditions. “We are always looking at ways to extend the market window and because of Brazil’s unique location along the equator, they have the ability to harvest two commercial crops per year,” Leichter said in the release.

Pacific Trellis Fruit is one of the largest importers of grapes from South American, according to the release. The Jam grapes are available package in clear, 1-pound clamshells and are part of a 1-pound specialty grape line that includes other varieties under Pacific Trellis Fruit’s Dulcinea brand such as Cotton Candy, Candy Snaps, Candy Dreams and Candy Hearts.

Syngenta acquires Brazilian seed company

Wed, 05 Jul 2023 17:52:16 GMT

Syngenta Vegetable Seeds has recently acquired Feltrin Sementes, a Brazilian vegetable seed company that serves smallholder growers and home gardeners in 40-plus countries, according to a news release.

With the growing global vegetable seeds market, Syngenta says the addition of Feltrin Sementes expands its portfolio and supports its goal to serve growers of every type around the world.

“We’re thrilled to welcome the Feltrin Sementes team to our growing vegetable seeds business,” Matthew Johnston, Syngenta’s global head of vegetable seeds and flowers, said in the release. “Their diverse customer base and special connection to growers across Latin America makes them a natural fit with our business focus on placing growers at the heart of everything we do. We look forward to helping Feltrin Sementes continue bringing innovation and value to growers.”

Related news: Seed breeder Enza Zaden touts research approach and global accomplishments

The Feltrin Sementes brand will remain active, maintaining a brand identity that is familiar and respected by growers, according to the release. Founded in 1979 and headquartered in Rio Grande do Sul in southern Brazil, Feltrin Sementes serves growers with a portfolio spanning 50-plus crop segments and 500-plus varieties, such as pepper, lettuce, coriander and okra.

“Combining the people and portfolios of Syngenta and Feltrin Sementes is a tremendous opportunity,” Feltrin Sementes CEO Edimilson Luiz Bagattini said in the release. “We’re excited to join Syngenta Vegetable Seeds and offer an expanded portfolio and expertise to our customers from one of the world’s leading agricultural innovation and technology companies.”

One of the first companies to breed vegetable seed varieties, Syngenta’s history in vegetable seeds dates back more than 150 years, according to the release. Today, Syngenta Vegetable Seeds operates in more than 50 countries and delivers vegetable seeds to growers in 124 countries, offering nearly 2,500 commercial varieties across 30 crops, the release said.

Orange Juice Stuck in Worst Rout in Five Decades as Demand Sinks

Fri, 13 Nov 2020 06:04:42 GMT

Orange-juice futures in New York are heading for a 15th straight day of losses, the worst rout in records back to 1967.

U.S. demand for the juice has been weakening for years. Add that to a declining citrus crop in Florida, the top domestic grower, and you’ve got a recipe for shrinking investor interest as fewer people want to use futures to hedge. Prices have slumped about 17 percent this month.

The liquidity drain has also sapped market swings: 60-day historical volatility for most-active futures is at the lowest since November 2014. Even though Florida’s harvest is forecast by the government to drop to the smallest in 73 years, surging imports of frozen concentrate juice from suppliers like Brazil and Mexico are making up for the losses.

Sun World appoints Andrea Pavesi to new Brazilian office

Fri, 13 Nov 2020 06:32:36 GMT

Sun World International LLC , a developer of grape and stone fruit varieties, has opened a Brazilian office, appointing Andrea Pavesi the licensing manager for the country.

Pavesi has worked with Sun World for 12 years, and has grown mangoes, grapes and other crops in Petrolina, Brazil, according to a news release from Sun World.

The company opened a Peruvian office earlier this year, appointing Pablo Ramirez licensing manager for Peru; Daniel Desmartis was named licensing manager of Chile.

“We are looking to further strengthen our business in South America, and we are pleased to appoint Andrea to further corroborate and strengthen relationships with our Brazilian licensees,” Garth Swinburn, vice president of licensing, said in the release. “We care about the success of our licensees, and therefore we are also dedicated to bolstering our technical support in the region.”

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Jam Grapes from Pacific Trellis set to return

Tue, 15 Nov 2022 07:42:43 GMT

Pacific Trellis Fruit is again importing the Jam Grapes brand from Brazil, which is introduced in 2018.

During its initial launch, the black seedless grape variety was available only from October through January, according to a news release. It will return to shelves in May and June.

Josh Leichter, general manager of Pacific Trellis/Duclinea Farms, Los Angeles, said the company saw good interest from retailers, and attention was paid to balance quality and supply.

“Very quickly, we were able to confirm that this grape fulfilled our expectations – and those of our retail partners – so we decided to bring them back as soon as possible,” Leichter said in the release, and consumers responded in kind.

Jam Grapes will be packed in two-pound clamshells and random weight bags, as well as a one-pound clamshell, which is a “preferred pack style for high-margin grape varieties,” Leichter said in the release.

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