In Brazil, requests for judicial recovery within the agribusiness sector rose significantly by 56.4% in 2025, culminating in a total of 1,990 requests, the highest since records began in 2021. This increase, outlined by Serasa Experian, reflects the continuing financial strains faced by farmers as high interest rates, elevated production costs, and high levels of indebtedness converge to create a challenging economic climate. In 2024, there were only 1,272 requests, and just 534 the previous year, underscoring the rapid worsening of the financial situation for many agricultural operators.

Marcelo Pimenta, head of agribusiness at Serasa Experian, highlighted key factors contributing to this surge in requests. The current environment characterized by tighter credit availability and persistently high production costs has significantly impacted cash flow for rural operations. As these economic pressures mount, more producers, whether operating as individuals or businesses, are resorting to judicial recovery as a means of managing their debt and continuing their operations. This shift suggests that many producers are reaching crisis points in their financial viability.

The implications of these findings are substantial, as increasing rates of judicial recovery requests may signal broader issues within Brazil's agricultural sector. If the trend continues, it could affect not only the farmers themselves but also the entire agricultural supply chain. A lack of financial stability within the agribusiness sector could lead to reduced production capacity, impacting food supply and economic contributions from this vital sector of the Brazilian economy.