The green sugarcane fields in Brazil, glob-
al leader in this crop, where this tall grass has
been noteworthy since colonial times, are get-
ting greener in the Central-South region. This
is happening more precisely in the Southeast,
where the leading producer is the State of São
Paulo, and the well-known neighboring state
Minas Gerais, and in the Central-West , where
the highlights are Goiás and Mato Grosso do
Sul, while the southern state of Paraná is also
a relevant producer. Not by chance, it is this
central region that is home to the biggest
number of sugarcanemills and ethanol mills.
Meanwhile, the traditional northeastern re-
gion is reducing its sugarcane fields.
Strides made by the crop, followed close-
ly by the National Food Supply Agency
(Conab), from the 2005/06 growing season
to 2015/16, attest to the confirmation of São
Paulo’s leadership in area, production and
absolute growth rate. The area devoted to
the crop went up 1.352 million hectares dur-
ing this period in São Paulo. So much so that
in the past crop the State accounted for 52%
of the area and 55% of the production vol-
ume. The Agricultural Economics Institute
(IEA) of São Paulo ascertains that it is themain
product of the strong state agriculture, reach-
ing revenue of R$ 23.89 billion in 2015.
In percentage terms, the biggest strides
made by sugarcane over the past 11 years took
place in the Central West, particularly in the
states of Goiás (337%) andMato Grosso do Sul
(329%). The State of Goiás outstripped Minas
Gerais,whichusedtorankassecondbiggestna-
tional producer, especially in the region known
as Triângulo Mineiro and, even so, its planted
areawent up by 143%. The same holds true for
northwestern Paraná, in the South, near São
Paulo. The little expressive North registered
a bigger share of Tocantins and incorporated
Rondônia, while the traditional Northeast re-
duced its planted area slightly.
Analysis conducted by the Brazilian Insti-
tute of Geography and Statistics (IBGE), in the
past decade, when the sector experienced a
cycle of intense growth, with the arrival of eth-
anol powered flex cars, detected the central-
ization of sugarcane production, in São Paulo,
with a huge and consolidated industrial area
and new investments on the way. In 2015,
according to IEA sources, the State account-
ed for 42.7% of the 372 sugarcane and alco-
hol mills in the Country. The expansion to-
wards neighboring states is justified in several
studies that mention attractions in terms of in-
centive, land and jobs. With regard to difficul-
ties in the Northeast, with smaller productivity
rates, could be explained, according to evalu-
ations carried out by Conab, by such factors as
competition and weather conditions.
Goiás, with a higher relative increase, and a
leap from the sixth to the second position, re-
fers to stimuli geared toward the sector. The
State Secretariat of Development indicates
that, from 2000 to 2012, the economic activ-
ities relying on more investment incentives
(68%) belong to the sugarcane complex. Like-
wise, Mato Grosso do Sul refers to support ac-
tions and, in 2015, with 22 mills in operation,
the State began withdrawing incentives from
three projects that had not materialized. This
stemmed from the crisis faced by the sector
in the Country, when several units had to be
shut down. The problem, nevertheless, did
not prevent the Central-South region from
making strides, though on a slower pace, re-
vealing confidence in the future of the activity.
Focused on the central region
Major sugarcane-producing areas in Brazil are concentrated
in the Southeast and Central-West, and are expanding
Inor Ag. Assmann
22
