Sicoob's Agricultural Credit Distribution in Brazil Increased by 7 Percent

The Brazilian financial cooperative Sicoob exhibited strong growth in rural financing during the 2025/26 harvest season, significantly increasing its distributed credit volume. The institution distributed a total of 59.5 billion Brazilian Reals in credit, including agricultural loans, during this period. This figure represents an increase of approximately 7 percent compared to the 55.4 billion Reals recorded in the previous 2024/25 season. This strong performance once again highlights the institution's COMMITMENT to Brazil's massive agricultural sector. Thus, Sicoob continued its uninterrupted support to the country's agriculture despite a high-interest-rate environment.

Following this successful financial season, Sicoob also positively strengthened its share in Brazil's rural credit market. The institution's market share in credit distribution nationwide rose from a previous 7 percent to approximately 8 percent today. Corporate Agrobusiness Manager Raphael Silva de Santana stated in a press briefing that if financial instruments called Producer Notes (CPR) are also taken into account, this share reaches 9 percent. Santana shared this data in detail at a press conference held in the capital, Brasilia, where the state of the sector was discussed. This data proves how deeply rooted and effective a network the cooperative model has established across Brazil's vast agricultural lands.

One of the most striking features of the harvest season that ended last week is that the credits were predominantly directed towards small and medium-sized producers. Approximately 63 percent of total credit transactions were allocated to this producer group, with the average amount of credit provided to this segment standing at 155.3 thousand Reals. Sicoob officials emphasized that the cooperative model maintained its strength despite a period dominated by high-interest rates and a selective approach in the credit market. Through official statements, the financial institution expressed that it continues to support agricultural production across the country thanks to its extensive service network. Consequently, small farmers who need financial support the most were enabled to participate in the economic cycle.

When examining the sectoral distribution of the provided financial resources, livestock and agriculture are seen in the leading position. In the 2025/26 period, approximately 28 percent of total transactions were allocated to livestock activities, primarily cattle ranching. Agricultural activities, including fruit and vegetable farming, accounted for 40 percent of the transactions, with soy, coffee, sugarcane, and corn production being the most supported products. The remaining 32 percent was allocated to financial transactions that do not have a specific area and can be used more flexibly. This balanced distribution is of critical importance for the sustainability of both agricultural production and livestock.

The credit portfolio offered by the institution covers a very wide range, from the cash flow needed by producers to new technological investments. 21.4 billion Reals of the total distributed amount was allocated to direct financing to be used for expenses such as working capital and fertilizers. Additionally, 11.5 billion Reals were allocated for investment credit, 4.6 billion Reals for trade and marketing financing, and 2.7 billion Reals for the industrial processing of products. Billions of Reals in resources were also transferred through important government-supported projects such as the Program to Strengthen Family Farming (Pronaf) and the Support Program for Medium-Sized Producers (Pronamp). This comprehensive financial strategy helps Brazil increase its agricultural production capacity and solidify its critical position in the global food supply chain.