Squeezed out: Brazil's biggest orange-juice exporter plants trees for small growers, who prefer sugar.

Latin Trade | November 1, 2006| | Copyright

Already the world's biggest orange grower, Brazil faces two problems: Orange groves around Sao Paulo--where 85% of the fruit is grown--are aging, mainly groves managed by small, rural producers. Secondly, what was once orange groves is being turned into land for sugar cane production. As free trade has grown, Brazilian oranges have become more competitive, but demand for sugar abroad is rising too. The difference is, sugar cane grows more quickly than orange trees, so the money comes faster, too.

In an attempt to turn things around, Cutrale, Brazil's largest ...

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