Brazil's rural credit shrank 19.5% at the start of the season. Almost half the money now comes from CPRs
Agriculture Ministry data show R$ 149.1 billion contracted by commercial farming from July to October, against R$ 185.2 billion a year earlier. CPRs now account for 47.8% of the total.
To save you time4
- How much did rural credit fall?
- Commercial farming contracted R$ 149.1 billion from July to October 2026, down 19.5% from R$ 185.2 billion a year earlier.
- How big is the CPR share?
- CPRs moved R$ 71.2 billion, up 0.8%, rising from 38.1% to 47.8% of total financing.
- What was the largest funding source?
- Controlled LCA, with R$ 16.4 billion, ahead of mandatory reserves at over R$ 16 billion.
- Why does it matter?
- Farm credit risk is moving off bank balance sheets and into capital markets and the input supply chain.
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If you want to know where farm money is going, here's the number: R$ 149.1 billion. That's what Brazil's commercial farmers (everyone outside the Pronaf family farming program) contracted from July to October 2026, the first four months of the 2026/27 season. A year earlier it was R$ 185.2 billion. Down 19.5%.
The data come from the Agriculture Ministry, based on Sicor (the central bank's rural credit registry) and CPR registrars.
CPRs held the volume up
What matters here: CPRs (rural product notes, in which the farmer promises to deliver product or pay later) moved R$ 71.2 billion, up 0.8%. With everything else shrinking, their share jumped from 38.1% to 47.8% of the total, across 53,684 operations.
Traditional working capital loans totaled R$ 48 billion, marketing loans R$ 11.8 billion (down 8%) and investment R$ 11.9 billion.
Who's funding it
Among sources, controlled LCA (agribusiness credit notes sold by banks) took the lead with R$ 16.4 billion, ahead of mandatory reserves at over R$ 16 billion. Controlled rural savings rose 43.4% to R$ 6.9 billion.
For market watchers: farm credit is leaving the subsidized bank counter and moving into private paper. The risk changes hands. It goes to input dealers, traders, cooperatives and, at the end of the chain, to buyers of CRAs and Fiagros backed by those CPRs.
By region (excluding CPRs), the Southeast and South tied at R$ 23.9 billion each, and the Center-West took R$ 19.3 billion.
What I'd watch
The quality of those CPRs. With defaults high and a public fight between farmers and Banco do Brasil, fast-growing private paper calls for extra attention to collateral and registration. Including CPRs in the MP 1,376 renegotiation will be a key test.
