In the last years agricultural productivity in Brazil has grown dramatically, thanks to new technologies and the constant pursuit of innovations, this increase in technology has brought great challenges such as the increase of pests and diseases, the introduction of varieties with shorter cycles to hold 2 to 3 crops per year, weed resistance, new pests and diseases. All this increased productivity has also led to a incredible increase in costs. Studies show that while productivity in recent years has grown by 30%, the cost of production has increased by 170%.
In his daily life, the Brazilian farmer has faced these great challenges always thinking about technology, ranging from choosing the best planting time, the choice of cultivars and traits, pest and disease control and fertilization from planting to harvesting and all this, thinking about two harvests in the same year.
Today the only way to have greater profitability and compete with other agricultural countries is grow summer and winter season and without these innovations and knowledge, Brazilian agriculture would be uncompetitive. With all this landscape, the farmer has at his disposal hundreds of products and solutions offered by a wide range of companies.
The distributor in the desire to serve his customer in the best way aims to offer all possible solutions and from all suppliers, which can pass to the farmer a confusion of products and solutions that instead of bringing comfort and productivity can bring more costs and dissatisfaction not only with the products but also with the distributor.
We are going through a moment of great transformation in the distribution system in Brazil and in order to be more transparent and offer the best solution for the farmer, Agro100 inaugurated this month in Londrina the CTA, that is, our Agricultural Technology Center, which will aim to test new products and develop new services and solutions and with the purpose of seeking the best recommendation for the farmer.
In an area of 27 hectares and with a fully automated irrigation system where we can test every year, this technology center aims to offer the farmer the best recommendation and to our suppliers a space for testing and jointly developing technology and services.
Many suppliers in Brazil do not have research stations or development centers and we want to offer a gateway to these technologies as well as new services. In this first year we are testing 8 new products ranging from biological solutions to weather forecasting services and over 50 protocols with current solutions to enhance our recommendations.
The farmer will have in his hands the results of these tests and for sure a greater certainty of the recommendations. All our recommendations will have a Performance and Cost aspect, where by his profile, the economic situation or even the commodity prices he can choose the best option for the moment.
We hope to offer the farmer transparency and credibility with our recommendations and for our current suppliers a center of excellence for product development and for new suppliers who want to enter Brazil a gateway to develop solutions and quick market entry.