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Rome 30-31 May 2008
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Welcome to Brazil
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Brazil , officially the Federative Republic of
Brazil, is a country in South America. It is the
fifth-largest country by geographical area, the
fifth most populous country with 180 million
inhabitants, and the fourth most populous
democracy in the world.
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SOUTH AMERICA
BRAZIL
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Ecosystems Brazil    In its 8.5 million square
kilometers, Brazil offers different landscapes
ranging from semi-desert to evergreen tropical
rainforests. It is regarded as one of the
richest countries in biodiversity.
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The Amazonia, an area of nearly 5 million square
kilometers, occupies the northern part of South
America up to the Andes. The Amazon forest is a
tropical rainforest with one of the worlds
highest rates of biodiversity, having nearly 80
of its total area preserved.
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Evolution of the Agricultural Production
Grains Cultivated Land Brazil 1980 to 2008
Fonte IBGE
Source IBGE
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R Millions
Agricultural Machinery and Implements from Brazil
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Agricultural Machinery and Implements from Brazil
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Brazil trade balance and agribusiness evolution
Brazil Exports
Brazil Imports
Agro Exports
Agro Imports
Agricultural Machinery and Implements from Brazil
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Brazilian Agribusiness Exports (1997 2007)
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OTHER MAIN CROPS
Source Agrianual 2008 Published by FNP Institute
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Agricultural Machinery and Implements from Brazil
The Brazilian Agricultural Machinery Sector
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Agricultural Machinery and Implements from Brazil
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Agricultural Machinery and Implements from Brazil
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R Milhões
Agricultural Machinery and Implements from Brazil
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Agricultural Machinery and Implements from Brazil
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Agricultural Machinery and Implements from Brazil
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Agricultural Machinery and Implements from Brazil

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Agricultural Machinery and Implements from Brazil
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IN DIFFERENT MOMENTS
1960 / 2011 TRACTORS SALES IN THE DOMESTIC
MARKET
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Equipment average age   Agriculture machinery
and implements modernization prevented the waste
of nearly 18 million tons of grains in the last
four years, which is equivalent to 5 of the
Brazilian annual production in the period. The
significant increase of production, as well as of
the domestic sales of machinery and equipment,
was leverage by the increase in production, on
the revenues and exports, and due to the
Moderfrota (financing system). The average age
of tractors is around 5.2 years and harvesters
7.7 years, considering a lifetime from 10 to 15
years. The power of the tractors sold in the
Brazilian market grew, reflecting the investment
made in technology and the increase in direct
planting areas.
Agricultural Machinery and Implements from Brazil
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Evolution of Irrigated Area
Fonte ABIMAQ/ CSEI
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Fonte ABIMAQ/ CSEI
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Legislation The agricultural guidelines and
policy are included in the last Brazilian
Constitution (1988) on the articles - 184 and
191, which originated Law nr. 8.171, of Jan 17,
1997. It regulates the agricultural policy,
defining objectives and institutional capability,
which foresees resources and establishes the
actions and tools to be employed, regarding
stockbreeding, agro industry, fishery and
forestry activities planning.
Agricultural Machinery and Implements from Brazil
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• In every farm or production area it is compulsory
• to preserve
• 20 of native forest / vegetation in Southern
  Center Region
• 35 in the Savannah Region.

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Agricultural Machinery and Implements from Brazil
Credit Lines for Agriculture
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PRONAF (PRONAF
national programme to incentivate the small
family production)
PRONAF D Annual interest rate 2,00
PRONAF E Annual interest rate 5,50

• Target Familiar Gross Earning between R 50
  thousand to R110 thousand
• Maximum value
• Up to R 54 thousand
• Term
• Up to 5 years (60 months)

• Target Familiar Gross Earning between R 18
  thousand and R 50 thousand
• Maximum Value up to R 27 thousand
• Term up to 5 years (60 months)

Agricultural Machinery and Implements from Brazil
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Moderinfra

• Objective irrigation and storage support,
  through the sustainable irrigated agriculture
  financing
• Target rural producers, individuals or companies
• Annual interest rate 6,75
• Term up to 96 months
• Shortage up to 36 months
• Guarantees 130
• Finance Up to 100 of the limited budget of R
  1 million for individual undertaking and R 3
  million for general undertaking.

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Moderfrota

• Objective Finance new or used tractors and
  harvesters and new implements, all manufactured
  in Brazil, duly registered at the BNDES.

• Annual Interest rate 7,50 to 9,50
• Terms up to 60 months (72 months to harvesters)
• Shortage up to 18 months
• Guarantees 125
• Finance limit
• 100 of the budget for Stockbreeding Gross
  Revenue (SGR) equal or less than R 250 thousand
  annual interest rate 7,55.
• 90 of the budget for SGR above R 250
  thousand annual interest rate 9,5
• R 20 thousand for coffee preparing, drying
  and processing equipment

Agricultural Machinery and Implements from Brazil
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Agricultural Machinery and Implements from Brazil

• CONCLUSIONS
• We believe that Agriculture should be seen not
  only as a source of food and raw materials
• for industry, but also as a source of clean
  energy.
• We believe (and practice) in a sustainable
  agriculture, food safety and environmental
• protection
• We believe that demand for a better quality food
  will grow consistently.
• We believe that in the development of new
  machinery it is essential to consider 3 key
• elements the operator, the land and the
  environment, all combined in harmony.
• We believe that both the design and performance
  of agricultural machinery should be
• adapted to the different kinds of soils,
  topography (terrains), climates and operators
• safety regulations and certification are also
  very important.

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Agricultural Machinery and Implements from Brazil

• CONCLUSIONS
• We believe in a continuous technological
  progress considering also social, cultural,
• economical and human factors.
• We believe that problems are becoming more and
  more universal and should be treated
• jointly.
• We believe in cooperation between nations,
  companies and people, therefore we have
• developed a joint- venture program at Abimaq.
• Brazil is a race-melting pot with religious
  syncretism, open to new ideas and projects!
• ABIMAQ and its Chamber of Agricultural
  machinery and implements also are!

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THANK YOU !!