Executive Summary
Cerrado deforestation in Source: PRODES Chain Reaction Research 30 March Key Cerrado deforesters in linked to the clearing of more thanhectares The Cerrado biome, a vast, biodiverse tropical savannah in Agricklture, is under threat from commodity-driven deforestation. Soy expansion and cattle ranching are direct drivers of forest loss in the Cerrado. This report presents new data on specific actors deforestation due to agriculture to Cerrado deforestation inincluding the quantified risk exposure of the largest soy traders, meatpackers, and retailers. Financiers with forest policies are exposed to material risks in their portfolios.
Rising deforestation linked to soy, cattle, and land speculation threatens to disrupt natural water systems, regional climate patterns, and long-term agricultural productivity in the region. Cerrado deforestation in totaledha, an increase of Deforestation on private lands accounted for The remaining deforestation occurred on lands that deforestation due to agriculture no legal designation.
A total ofha of Cerrado deforestation see more took place on farms that have had already soy-planted areas. CRR estimates Over half of soy-driven Cerrado deforestation is linked to prominent soy producers. The beef industry is another key driver of deforestation and land speculation in the Cerrado.
Meatpackers JBS, Marfrig, and Minerva are highly exposed to Cerrado deforestation in their supply chains, especially in the Matopiba region. Retailers Casino Group, Carrefour, and Cencosud are key beef sales channels, equally linked to deforestation in the biome.
The escalation of market access risk, regulation risk, financing risk, and reputation risk could lead to material financial losses here financiers. Stretching over million hectares hathe size of Germany, France, England, Italy, and Spain combined, the Cerrado is a wooded grassland that provides critical ecosystem services to the world. It contains 5 percent of all biodiversity in the planet, with 1, animal species and 12, agriclture species—of which nearly half are found only in the Cerrado. Its deep root systems act as a critical carbon sink, estimated to store The Cerrado is also the most productive agricultural region in Brazil, which has resulted in deforestation and land clearing that are destabilizing the ecosystem. Agricultural expansion is the primary driver of increasing deforestation due to agriculture in the Cerrado. Since agricultural activities expanded in the s, 50 percent of the Deforestation due to agriculture has been lost to agricultural and pasture land primarily deforestatio cattle, soy, cotton, corn, and eucalyptus.
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While the Forest Code requires private landowners in the Amazon to preserve up to 80 percent of their property, landowners are required to set aside only percent of native vegetation across the Cerrado. Accounting for publicly protected areas, it is estimated that less than 3 percent of the Cerrado is under legal protection, compared with 46 percent of the Amazon. Environmental protection is defogestation weakened by the lack of environmental enforcement as a result of the pro-business agenda of the Bolsonaro administration.]
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