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BARTER OPERATIONS CAN HELP BRAZILIAN FARMERS PLAN NEXT HARVEST...

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May 7, 2020 Variations in the prices of commodities and the dollar, economic instability, the credit crunch of financial institutions and the lack of predictability of what may happen in the next harvest can generate insecurity in rural producers when planning and prospecting production costs. To circumvent the uncertainties generated by the political and economic scenario, barter operations can be an option so that you can buy inputs for the 2020-2021 harvest. After all, the exchange allows the farmer to fix input costs using market perspectives for the price of harvested bags. This type of operation began in the 1990s, with the interest of companies specializing in the commercialization of commodities to expand their soybean business in the Midwest region, but at the time it was still a little-known practice with a regional scope. However, because it is a safe option for farmers to acquire inputs in periods of high interest and difficult credit, this tool with a different ...