Today: the financial effects of deforestation on Brazilian agriculture. Metro company in São Paulo fined for data privacy violation. IPOs in Brazil are not enticing foreign capital.
The big risk for Brazilian agriculture
We at The Brazilian Report have raised concerns about the economic impact of deforestation on the domestic agriculture sector. On Monday, a group of researchers from the Federal University of Minas Gerais published a report in scientific journal Nature Communications, quantifying the economic risks for agricultural producers caused by deforestation in the southern Amazon.
What they are saying. Forest conversion to pastures and crops affects moisture cycling and energy balance, and may change rainfall patterns. “As forest loss accumulates, impacts on rainfall patterns may critically affect agriculture, especially in the southern Brazilian Amazon, where forest losses already amount to 30 percent,” write the experts.
You already knew this. In our April 19 Weekly Report, we showed how Brazil’s rainfall pattern has changed — with the September 2020-March 2021 stretch registering the lowest amount of rains for the period in 91 years. The National Center for Monitoring Natural Disasters warned that “losses in agricultural productivity could occur due to prolonged droughts and low amounts of water in soil.”
Why...