With it huge land mass, favorable climate and energetic agricultural sector, there is no indication that agricultural expansion shows any signs of slowing down. Commodity price fluctuations could speed up or slow down this process, but it is certain that the expansion will continue. It is a natural progression of events to push the agricultural frontiers further and further into the new lands of Amazonia and beyond. This agricultural expansion will continue to impact the agricultural sector here in the United States especially the U.S. soybean producers. Soybeans have been the primary driving force behind much of this expansion in Brazil and they will continue to do so in the future.
Soybeans offer many advantages over other crops in Brazil.
They are well adapted to the soils and climate of the region, productivity is comparable to the U.S., the price of the crop is based on world markets and the crop offers excellent liquidly. And lastly, Brazilian farmers like to grow soybeans. They are very good at producing soybeans and soybean expansion in Brazil shows no signs of abatement. No comparable argument can be made for any other crop in Brazil. In Brazil, soybeans are produced primarily as a monocrop.