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Protests in Brazil Impede Transport of Agricultural Commodities

11/10/2022

Following the election of President Luiz Inacio Lula da Silva by a narrow majority, protests have occurred in rural areas that have impacted exports. In addition domestic supply chain has been constrained with shortages for some items evident in urban supermarkets.

 

The Paranagua Port Authority is attempting to resolve a blockade of the access road to the Nation’s largest installation.  The Federal Road Police dismantled 339 blockades in the region erected by truckers. Exports of agricultural products are down by approximately one third since the start of protests, impacting soybeans, corn and fertilizer.  Some meat packing plants have reduced operating hours and processing of oranges has almost come to a halt as drivers are concerned over road protests.

 

Lula has vowed to end deforestation and to reverse policies imposed during the Bolsonaro regime detrimental to the environment.  An NGO dealing with Amazon conservation has determined that since 2020, 100,000 acres of Amazon rain forest have been cleared to plant soybeans in Mato Grosso state.  In his inaugural address to the nation, Lula noted, “Brazil will fight for a living Amazon.  We will resume the surveillance of the entire Amazon and any illegal activity will be suppressed and we will promote sustainable development.”

 

To his credit, ex-President Bolsonaro has called upon supporters to cease protests and destructive activities.