The sector showed a growth of 5%, beyond the climatic condition. Better performance is expected this year.
He agricultural sector improved its result by 5% during 2023, despite the strong impact caused by the drought, being a fundamental actor for the growth of the Gross Domestic Product (GDP), which was 0.4% last year, according to the National Accounts report of the Central Bank of Uruguay (BCU).
Despite the difficult nature of a year marked by million-dollar losses associated with the climate phenomenon, the agro, hand in hand with the harvest soy 2023/2024, had an important impact on the economic activity is on the rise.
In fact, the BCU explained that the better prospects for the performance of the oilseed, compared to the terrible previous harvest, were fundamental to boost the sector. agricultural. Also influencing, to a lesser extent, the better performance of the winter crops.
Another important branch was the activity forestry, with a greater demand for rolls for industrial processing, linked to the start-up of UPM 2. On the other hand, livestock activity was affected by the reduction in task and lower births of calves, something that was partially offset by the increase in live cattle exports and the greatest remission of milk to industrial plants.
What does agriculture expect for 2024?
After a 2023 conditioned by the climate factor, the Ministry of Livestock, Agriculture and Fisheries (MGAP) forecasts a growth of 8.4% for the agro in 2024, considering that there will be an improvement in summer crops, forestry activity and slaughter.
This is what emerges from the yearbook of the Office of Agricultural Programming and Policy (Opypa), which estimated the losses associated with the drought at 1,883 million dollars. The greatest boost will be given by the production of soy, with the expectation of more than 3 million tons.
The general director of the MGAP Farm, Nicolas Chiesa, he anticipated Ambit weeks ago that “the episodes of rain and the supply of water improved the crops”, while he was expectant that the weather “continues to be favorable”, but also to achieve greater opening of markets on an international level.
Meanwhile, the president of the Rural Federation, Jorge Andrés Rodríguez, He told this medium that the year began with 20% more reservations and predicted “a recovery scenario to turn the page on the worst year we can remember.”
Source: Ambito
