Agribusiness and energy sectors face rising costs in Brazil and Portugal

Brazil's agribusiness sector faces structural vulnerabilities due to a heavy reliance on imported fertilizers. Approximately 85% of the fertilizers used in Brazilian crops are sourced from abroad, exposing the supply chain to geopolitical tensions in Eastern Europe and the Middle East, as well as currency fluctuations and international freight costs. Domestic production is also under pressure from high natural gas costs, which are more than double the prices seen in the United States, threatening the competitiveness and operational stability of local plants.

In Europe, rising international oil prices are expected to impact consumer costs. With Brent crude trading near $96 per barrel, preliminary estimates for Portugal suggest significant increases in fuel prices. Diesel could rise by approximately 14 cents per liter, while gasoline is projected to increase by seven cents per liter. These hikes are expected to affect transport, distribution, agriculture, and fishing sectors, potentially driving up the prices of goods and services.