To have a viable agricultural economy it is no longer enough to just be able to grow a crop. That is a lesson that has been learned well by an emerging economic giant in the southern hemisphere that is rapidly increasing its ground under cultivation.
To make it easier to supply these facilities the Brazilian government plans to pave 4500 miles of roads and finish a railroad running north from the central states.
Roberto Rodriguez, Brazilian Agriculture Minister: "We are now very hopeful that there will be investments in the logistics infrastructure sector. Brazilian production has increased repeatedly year after year, and that starts to leave the current infrastructure behind."
The work will all be paid for via taxation. Despite the fact the cost will cut into farmers profits there appears to be a willingness by landowners to pay the bill.
The potential of this new market is not lost on the world leaders in support industries for agri-business. Prepared to ride this wave of future prosperity are U.S. companies like John Deere, Monsanto, and Pioneer. And agricultural production groups like Cargill, Tyson, and Smithfield have set-up shop; many of the companies having been in Brazil for several years.