Mato Grosso grain production rises amid infrastructure growth and rising corn costs

Agricultural production in Mato Grosso has seen a significant increase, with grain output rising from approximately 66 million to over 110 million tons. Marcelo de Oliveira, the Secretary of Infrastructure and Logistics, attributed this growth to state investments in infrastructure, including over 7,000 km of paved highways, which have provided producers with the confidence to invest and expand.

This infrastructure development has also supported the emergence of new industrial chains, such as corn ethanol production, where Mato Grosso now leads nationally. The expansion has further boosted the production of DDG, a co-product used in intensive livestock farming.

However, economic challenges persist for corn producers. For the 2026/27 harvest, the estimated cost of corn production in Mato Grosso rose to R$ 3.77 thousand per hectare, driven largely by increases in fertilizer and corrective costs. According to IMEA, while corn prices have seen an annual increase, the growth in production costs is outpacing price rises. Current negotiated prices for the 2026/27 harvest are sufficient to cover effective operational costs but remain below the total operational cost, tightening profit margins for farmers.