Brazil’s Wildfires and Their Impact on Chicken Feed Prices
Brazil is currently grappling with severe wildfires, which have been intensified by an ongoing “mega drought” and extreme heat. In the past week alone, approximately 2,700 fires have devastated southern São Paulo state, destroying over 59,000 hectares of land, including extensive sugar cane fields. These fires are driven by high temperatures, strong winds, and very low humidity.
The situation is exacerbated by climate change and deforestation, which have created conditions for one of the worst fire seasons in decades. The Amazon rainforest and the Pantanal wetlands are particularly hard-hit, with the Pantanal losing about 600,000 hectares to fires in June alone.
These wildfires have far-reaching consequences, including on the agricultural sector. The destruction of sugar cane fields and other crops can lead to shortages and increased prices for animal feed. For the poultry industry, this means higher costs for chicken feed, which is often derived from crops like corn and soybeans. As a result, the prices of chicken and other poultry products are likely to rise, affecting both producers and consumers.
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