Brazil-Impact from United States recession.

BRAZIL.

US IMPACT.

The agriculture sector of Brazil, is going to be effected initially by the US recession, albeit a temporary measure, according to official government sources on Wednesday.

The main cause on concern to Brazilian farmers, is the increase in costs of fertilizers and the lowering prices of commodities.

The decisions now have to be made, on which crops to plant in the later summer, soy wheat or coffee.

This current uncertainty in the market, has halted the exodus from beef farming in to the production of soy, that has shaken the rural sector up in the last two years.

The knock on effect from the US recession, could see a decline in the demand for products, however it is widely believed, that China the main trading partner of Brazil, is going to be the least effected country by the economic meltdown.