đ Brazil's Dairy Boom, Oxboâs R$150M Bet, Farmerâs Edge Expands, and CNA Backs Climate R&D
#22 BAR Brief
In this weekâs Brazil AgTech Report, Dutch machinery maker Oxbo invests R$150 million in a new facility in Minas Gerais to produce advanced harvesters for niche crops, signaling strong momentum in Brazilâs high-tech farm equipment sector. Farmerâs Edge, the Canadian AgTech firm, is expanding operations across Brazil, aiming to become the countryâs leading digital partner for precision farming and rural finance. Meanwhile, Lactalis is pouring R$313 million into dairy processing in ParanĂĄ, boosting capacity and strengthening the supply chain in one of Brazilâs key milk-producing regions.
On the climate innovation front, the CNA will fund R$100 million annually for Embrapaâs agricultural research, supporting sustainable productivity and resilience to climate change. Broto, Banco do Brasilâs agribusiness platform, is pushing to hit R$10 billion in transactions while scaling its barter financing model to reach more rural producers. In the startup scene, Graviola raised R$45 million to streamline fresh produce logistics and offer credit to small suppliers via its WhatsApp-based platform.
M&A and trade activity were also in focus: SLC AgrĂcola acquired Mitsuiâs stake in a major farming joint venture, adding over 26,000 hectares to its portfolio. Ihara bought 85% of Innova, strengthening its fertilizer footprint, and Agribrasil is exploring strategic investments as it ramps up grain exports. Internationally, Brazil deepened ties with Chile and continued to grow its ag exports to Africa, while domestic export diversification surgedâsesame and black pepper posted triple-digit growth in February.
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In this weekâs editionâŠ
AgTech
đ Farmerâs Edge To Expand Presence in Brazil
đ€ Hexagon and AnalĂtica Form Partnership for AgTech Solutions
đ Oxbo Invests R$150M in Brazil's Ag Machinery Market
đ° Banco do Brasilâs Broto Aims for R$10 Billion Expansion
đ„ Lactalis Invests R$313 Million to Expand Operations in ParanĂĄ
Climate
đĄCNA Allocates R$100M to Fund Embrapa's Ag Research
Funding
đ Graviola Raises R$45M to Improve Produce Supply Chain
M&A
đŸ SLC Acquires Mitsui's Stake in Joint Venture for R$103M
đ± Ihara Acquires Majority Stake in Innova Fertilizer Company
đ€ Agribrasil Explores Sale of Stake Amid Expansion Plans
đ JBS and Almarai Compete For Leading Poultry Producer
Misc.
đ« Brazil Launches $176M Fund For Small-Scale Cocoa Farmers
đ Brazil Strengthens Ag Cooperation with Africa
đ Brazil Diversifies Ag Export Portfolio and Niche Markets
đ„ Brazil's Dairy Industry Booms with Record Sales
đ± Brazil & Chile Strengthen Agricultural Trade Ties
AgTech
đ Farmerâs Edge To Expand Presence in Brazil
Canadian AgTech company Farmerâs Edge is expanding its presence in Brazil, aiming to be the go-to digital partner for agribusinesses. The company is investing in AI-driven solutions, precision agriculture, and big data analytics to help farmers optimize yields and reduce risks. By integrating financial, environmental, and operational data, Farmerâs Edge wants to support rural credit, sustainability, and supply chain efficiency. The strategy includes partnerships with local agribusinesses to provide real-time insights and better decision-making tools. read more
đ€ Hexagon and AnalĂtica Form Partnership for AgTech Solutions
Hexagon, a global tech giant, and AnalĂtica, a Brazilian startup, have joined forces to drive digital transformation in the Brazilian Ag sector. The collaboration aims to combine Hexagonâs advanced data processing capabilities with AnalĂticaâs expertise in AI and analytics, creating powerful precision agriculture solutions. The partnership seeks to enhance yield forecasting, farm efficiency, and real-time decision-making through cutting-edge technology. read more
đ Oxbo Invests R$150M in Brazil's Ag Machinery Market
Dutch agricultural machinery manufacturer Oxbo has inaugurated a new 96,000-square-meter facility in Uberaba, Minas Gerais, investing R$50 million in its construction. This move is part of a broader R$150 million investment plan to expand its presence in Brazil's niche agricultural sectors. The company specializes in equipment for harvesting crops like green peas, pistachios, spinach, blueberries, and olivesâmarkets often overlooked by larger manufacturers. The new plant will produce advanced coffee harvesters tailored for both Arabica and Conilon varieties, featuring autonomous operation and sensors to optimize yield without stressing the plants. Oxbo plans to double the facility's capacity within five years, aiming to introduce machinery for other crops such as oranges, in collaboration with industry leaders like Cutrale and Citrosuco. read more
đ° Banco do Brasilâs Broto Aims for R$10 Billion Expansion
Broto, Banco do Brasilâs digital agribusiness platform, is setting ambitious goals to reach R$10 billion in transactions and expand its barter financing model. The platform connects farmers with suppliers and financial services, enabling them to trade agricultural inputs for future production instead of cash. This strategy provides liquidity, credit access, and risk management tools for rural producers. With strong backing from Banco do Brasil, Broto is rapidly growing, leveraging digitalization and innovative financing models to enhance efficiency and support farmers in securing better financial conditions. read more
đ„ Lactalis Invests R$313 Million to Expand Operations in ParanĂĄ
French dairy giant Lactalis is investing R$313 million to expand its production facilities in ParanĂĄ, Brazil. The investment will boost milk processing capacity, modernize factories in CarambeĂ and Castro, and strengthen its supply chain in the region. ParanĂĄ is a key milk-producing state, and this move aims to increase efficiency and competitiveness in the Brazilian dairy market. The company, which owns well-known brands like Parmalat and Batavo, continues to consolidate its presence in Brazil, reinforcing its long-term commitment to the country's dairy sector. read more
Climate
đĄ CNA Allocates R$100M to Fund Embrapa's Ag Research
The Brazilian Confederation of Agriculture and Livestock (CNA) has announced an annual investment of R$100 million to support research initiatives by the Brazilian Agricultural Research Agency (Embrapa). This funding aims to drive innovation and sustainability in Brazil's agricultural sector, addressing challenges such as climate change, pest control, and crop productivity. The initiative is led by Roberto Rodrigues, emphasizing the importance of public-private partnerships in advancing agricultural technologies. By bolstering Embrapa's research capabilities, the CNA seeks to maintain Brazil's competitive edge in global agribusiness and promote environmentally responsible farming practices. read more
Funding Round
đ Graviola Raises R$45M to Improve Produce Supply Chain
Brazilian startup Graviola, which connects supermarkets and other businesses with produce suppliers through a platform that also operates via WhatsApp, has received an investment of up to R$45 million from SRM Ventures, the venture capital arm of SRM Asset. This funding aims to establish Graviola as the "produce bank," offering credit solutions to small and medium-sized suppliers who often face extended payment terms. With 450 registered suppliers and R$11 million in transactions since 2024, Graviola plans to provide over R$100 million in credit by 2026, focusing on receivables anticipation to alleviate cash flow challenges for suppliers. The platform streamlines the procurement process for retailers, increasing efficiency by 30% and reducing input costs by up to 15%. read more
M&A
đŸ SLC Acquires Mitsui's Stake in Joint Venture for R$103M
SLC AgrĂcola has purchased the remaining 47.8% stake in the SLC-Mit Empreendimentos AgrĂcolas joint venture from Japan's Mitsui Group for R$103 million, becoming the sole owner of the company. This acquisition adds 26,200 hectares to SLC AgrĂcola's operations, as the joint venture manages a total of 54,800 hectares across SĂŁo DesidĂ©rio, Bahia, and Porto dos GaĂșchos, Mato Grosso. The transaction awaits approval from Brazil's Administrative Council for Economic Defense (Cade). This move aligns with SLC AgrĂcola's strategy to expand and reorganize its rural real estate holdings, following recent acquisitions, including properties from AgrĂcola Xingu and Sierentz Agro. read more
đ± Ihara Acquires Majority Stake in Innova Fertilizer Company
Brazilian agrochemical company Ihara is set to acquire an 85% stake in ParanĂĄ-based fertilizer manufacturer Innova, purchasing shares from founder Adriano Renato de Azeredo, who will retain a 15% interest. Post-acquisition, Innova will operate independently but align strategically with Ihara's objectives. This move aims to bolster Ihara's market share in agricultural inputs, including fertilizers and seeds. The deal was submitted to Brazil's Administrative Council for Economic Defense (Cade) in January and received approval earlier this month. read more
đ€ Agribrasil Explores Sale of Stake Amid Expansion Plans
Brazilian grain trading company Agribrasil is in discussions to sell a stake in the company. Potential investors include Dubai-based Solaris Commodities and the Saudi Agricultural and Livestock Investment Company (Salic), headquartered in Riyadh. No agreements have been finalized, and Agribrasil has refrained from commenting beyond official channels of the Brazilian Securities Commission (CVM). The company reported trading 1.858 million tons of soybeans and corn in the first nine months of 2024, a 68% increase compared to the same period in the previous year, largely due to increased soybean volumes shipped through the TESC port terminal in Santa Catarina, in which Agribrasil holds a 51% stake. read more
đ JBS and Almarai Compete For Leading Poultry Producer
Brazilian meat giant JBS and Saudi Arabia's Almarai Co. have submitted separate non-binding bids to acquire Alwatania, the Middle East's largest poultry producer, in a deal potentially valued at approximately $533 million. Other contenders include Saudi-based Tanmiah Food Company and a consortium led by Ukrainian agritech firm MHP. Alwatania, founded in 1977, processes over one million chickens and 1.5 million eggs daily. The company has been exploring a sale since late 2024, with BSF Capital advising on the potential transaction. Discussions are ongoing, and there's no certainty the sale will proceed. read more
Misc
đ« Brazil Launches $176M Fund For Small-Scale Cocoa Farmers
A coalition of Brazilian organizations has introduced the KawĂĄ Fund, aiming to raise R$1 billion (approximately $176 million) by 2030 to support small-scale cocoa producers. Spearheaded by the ArapyaĂș Institute, investment platform Violet, advocacy group TabĂŽa, and MOV Investimentos, the fund seeks to bolster sustainable and regenerative agriculture in Brazil. In its initial phase, KawĂĄ will allocate around R$30 million to benefit 1,200 small-scale farmers in the states of Bahia and ParĂĄ. These producers often face challenges in accessing credit and technical assistance, leading to low productivity and income. The fund offers loans with a three-year repayment period, including a six-month grace period, at an annual interest rate of 12%. This initiative comes at a pivotal time, as global cocoa production faces declines, and prices surge due to adverse weather conditions affecting major producers like Ivory Coast and Ghana. âread more
đ Brazil Strengthens Ag Cooperation with Africa
Over the past three years, Africa has imported more than US$33.8 billion in Brazilian agribusiness products, including meats, cereals, and sugar. In 2024, Brazilian exports to Africa grew by 25%, solidifying Brazil's role as a strategic partner in the continent's food security. In May, African agriculture ministers are scheduled to visit Brazil, further strengthening these ties. This initiative underscores Brazil's commitment to international cooperation and innovative solutions for global agriculture, reinforcing its position as a key player in global food security. âread more
đ Brazil Diversifies Ag Export Portfolio and Niche Markets
Brazilâs agricultural export portfolio showed signs of increased diversification in February, with strong international demand for high-value, non-traditional products. Dried black pepper exports soared 146.6% to US$49.2 million, while sesame seed shipments rose 213.8%, reaching US$33.7 millionâdriven by growing markets in Asia and the Middle East. Orange essential oil exports also climbed 14.9% to US$37.1 million, with notable purchases from the European Union and China. These results underscore Brazilâs strategic diversification, enhancing its presence in niche markets, generating jobs, attracting foreign currency, and strengthening its position as a global agricultural powerhouse. read more
đ„ Brazil's Dairy Industry Booms with Record Sales
Brazilâs dairy sector is undergoing a silent revolution, with technological advancements, improved genetics, and modernized farm management boosting productivity. Farmers are adopting precision agriculture and automation to enhance efficiency and reduce production costs. This transformation is reflected in record-high milk purchases, with 2024 marking the second-largest volume in history. The sectorâs growth is driven by strong domestic demand and export potential, positioning Brazil as a rising global dairy powerhouse. đ read more
đ± Brazil & Chile Strengthen Agricultural Trade Ties
Brazil and Chile are deepening their agricultural trade relations following an international mission led by Brazilâs Ministry of Agriculture. The meeting focused on expanding bilateral trade, sanitary agreements, and sustainability efforts. Chile, already a key market for Brazilian beef, poultry, and grains, seeks to further diversify imports, while Brazil aims to increase exports of fresh and processed foods. The discussions also covered technological collaboration in agribusiness and strategies to enhance supply chain efficiency between both nations. read more
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KFG
Kieran Finbar Gartlan is an Irish native with over 30 years of experience living and working in Brazil. He is Managing Partner at The Yield Lab Latam, a leading venture capital firm investing in Agrifood and Climate Tech startups. All views, opinions, and commentary expressed are strictly his own.