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A hectare of rural land costs up to R$125,000 in Mato Grosso do Sul

Last year, soybean production, according to estimates from the Association of Soybean Producers of Mato Grosso do Sul (Aprosoja-MS), was 12.9 million tons, 20% less than in the previous cycle.

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Last year, soybean production, according to estimates from the Association of Soybean Producers of Mato Grosso do Sul (Aprosoja-MS), was 12.9 million tons, 20% less than in the previous cycle.

Corn production also fell and closed at 8 million tons in the same period, mainly impacted by the drought, with more than 50 cities producing below average.

In the current soybean cycle, despite the expectation of an increase in the planted area, the first forecasts made by Aprosoja-MS already indicate losses in productive potential in at least 30% of the sown area, mainly in the municipalities in the southern and southern-border regions of the State.

In these locations, some producers have timidly started harvesting and have already declared a state of emergency due to the lack of rain.

According to Paiva, two factors are currently driving up the price of agricultural land in the state: commodity prices and crop diversification. The latter is the case in regions dedicated to forestry, sugarcane and, more recently, citrus farming: In these regions, land appreciation is guaranteed.

In MS, currently, the region from Nova Alvorada do Sul downwards, which includes Maracaju, Dourados, Rio Brilhante, among other municipalities, have registered better prices for land, he says.

On the other hand, explains the president of Secovi-MS, when it comes to areas for livestock farming, the Pantanal region has recorded the most devalued lands.

The land is worth what it delivers, he reaffirms.elling farms, the saying goes that the land is worth what it delivers. According to Geraldo Paiva, president of the Mato Grosso do Sul Housing Union (Secovi-MS), in the post-pandemic period, land – especially agricultural land – has appreciated by around 20%. Depending on the region of the state, the cost per hectare can reach R$125,000, according to research into sales advertisements.

There was a very strong appreciation during this period due to commodity prices and good grain harvests, says Paiva, who has been in the local real estate market for almost three decades.

However, he states that, currently, the market is lukewarm precisely because Mato Grosso do Sul has had two agricultural harvests with production below expectations.

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