What do companies like Cargill, Syngenta, and Bayer all have in common? It is not the fact that they are major players in the agricultural world, but the fact that they have all benefited from the Industrial Revolution. 

The Industrial Revolution is often considered one of the golden ages of human development. It streamlined the manufacturing process, allowing it to function globally. Production, manufacturing, and exportation became more efficient during this period. Additionally, the newfound efficiency of shipping allowed developed countries to increase their exports, raising their GDP and furthering their economic standing. This caused the global economy to skyrocket, resulting in several countries becoming extremely wealthy. But, what happens when companies within these countries begin to grow, and stakeholders subsequently rely on them to maintain this growth? Companies crave more wealth and will stop at nothing to attain it, no matter how many laws and regulations prevent them from obtaining their goal. 

The most important export for these corporations is soya. Soya is a significant catalyst for deforestation in the Amazon; it is a top export in Brazil and generated $53.2 billion in 2023 (Swanson, K., & Meyer, S 2024). One of the biggest agricultural companies relying on Brazil's soya production is Cargill, a farming company based in the United States that is one of its top global producers. Due to its soya’s revenue, Cargill deforested thousands of acres of the Amazon (Greenpeace Unearthed 2020). It eventually reached a point where the Amazon Soy Moratorium was created to prevent companies, like Cargill, from continuing to destroy the rainforest. This moratorium states that “companies wouldn’t buy soy from soy traders who get their supply from farmers who clear the rainforest, use slave labor or threaten Indigenous Lands” (Greenpeace USA n.d.). However, even with current legislation, there are still reports of companies, like Cargill, sourcing soya from deforested parts of land. Furthermore, when these companies are caught using deforested lands, there are no repercussions. Though legal complaints are filed, these companies simply get a slap on the wrist (ClientEarth 2023). ClientEarth filed a legal complaint against Cargill, claiming, “failure to adequately deal with its contribution to soy-driven deforestation and human rights violations in Brazil” (ClientEarth 2023). They have claimed that Cargill has not been properly monitoring its soy trade, inspection at their ports, or ships that leave with soy. Although the case started in 2023, it has not been settled, and is still pending today (ClientEarth 2023).

Over the past few decades, the Amazon rainforest has been additionally deforested by companies who wish to create farms to grow their business, despite the increasing laws and regulations. Ultimately, the Industrial Revolution caused many agricultural companies to expand their physical plants by destroying many parts of the Amazon. This includes the state of Rondônia located in western Brazil, which has lost over 67,000 square kilometers of rainforest (NASA Earth Observatory n.d.). These companies prioritize increasing their profit margins over maintaining the well-being of the area’s farmers and one of the most diverse ecosystems in the world. They fail to realize that “​​destroying rainforest for economic gain is like burning a Renaissance painting to cook a meal” (Earth.Org 2022).

However unfortunate it may be, some people rely on the deforestation of the Amazon. Many countries still depend on fuelwood to survive. Fuelwood is essential for heating, cooking, and generating electricity, and as a result, thousands of acres of land have been harvested for fuelwood (Anderson 2002). 

While there are severe social, philosophical, and environmental repercussions to destroying one of the most biodiverse areas in the world, the numbers say they shouldn’t stop. In 2020, the agriculture industry generated around $86.9 billion in revenue, which is higher than the water transportation industry in the United States (Bureau of Economic Analysis n.d.). Its rate of production has also increased tremendously–from 75.2 million tonnes to 149.4 million tonnes over fourteen years (Statista n.d.). Furthermore, the compound annual growth rate of soy has been 5% the past ten years (U.S Department of Agriculture, Foreign Agricultural Service n.d.). Not only has the production increased, but the export value of soya has increased from $5.66 billion in 2006 to $53.24 billion in 2024 (Statista n.d.). This increase in global consumption of soya is due to an increase of the global demand for meat products. With many developing countries around the world generating economic wealth, many more people can afford to purchase meat products. Because of this, farmers have had to order more feed in order to keep up with the increased demand, and the feeds that these farmers use contain soya. Additionally, the consumption value of soya has increased as well. It went from 38.3 million metric tonnes in 2011 to 58.5 million in 2024 (statista n.d.). As both the margins and the growth of soya are increasing year over year, why would these companies stop deforesting the Amazon? 

Although this destruction supports these companies economically, the environmental repercussions should caution against its continuation. The Amazon rainforest is the home to tens of thousands of different species. With each tree that falls, an innumerable amount of creatures lose their homes. Furthermore, deforestation affects the global climate.  The removal of trees allows the release of further carbon into the atmosphere, which in turn, warms the planet. An increase in global temperature causes volatile weather, meaning more natural disasters such as hurricanes, heatwaves, and wildfires. Global warming also results in heatwaves and droughts, causing many farmers around the world to yield fewer crops. A yield in fewer crops means people all across the world have less access to food. Not only would these companies be causing farmers to grow fewer crops, they would also be causing themselves to lose money due to decrease in crop yield. 

While many people wonder why the Brazilian government does not hold Cargill and other large corporations accountable, doing so is much more complicated than it seems. The Amazon is approximately 1.6 million square miles, so it is practically impossible for the government to ensure that none of it is being deforested. Furthermore, soya is one of Brazil’s top exports, so it would be detrimental to the Brazilian economy if they were to stop deforesting the Amazon. No outcome benefits both sides in this case. If deforestation stops, the Brazilian economy will decline, forcing people to lose jobs, homes, and necessities to stay alive. On the other hand, allowing the continuation of deforestation will destroy the homes of thousands of innocent animals and cause further harm to the Earth’s ecosystem.  

Despite the economic repercussions, the deforestation of the Amazon must stop. One plausible solution is giving these companies restrictions on available land to deforest. In this way, the soya market may continue while the Amazon can maintain its health. Due to the demand, this cut will not harm the potential profit. Ultimately, the risk of further harming the biodiversity of the Amazon outweighs the economic benefits of deforestation. While this is just one potential solution, environmentalists, economists, and governmental officials must join together with these companies to develop a plan to support the market while ensuring the health of the Amazon.

References

Anthony B. Anderson, et al. “Smokestacks in the Rainforest: Industrial Development and Deforestation in the Amazon Basin.” World Development, Pergamon, 22 Mar. 2002, www.sciencedirect.com/science/article/pii/0305750X9090025S?ref=pdf_download&fr=RR-2&rr=8d458411ec784385. 

Greenpeace Unearthed. "Cargill: A History of Deforestation and Pollution." Greenpeace Unearthed, 25 Nov. 2020, unearthed.greenpeace.org/2020/11/25/cargill-deforestation-agriculture-history-pollution/.

Cargill. "Amazon Biome." Cargill, www.cargill.com/page/landuse/amazon-biome#:~:text=Since%202006%2C%20Cargill%20has%20firmly,deforest%20in%20the%20Amazon%20biome.

Greenpeace Unearthed. "Cargill and Deforestation in the Amazon." Greenpeace Unearthed, 14 Jan. 2022, unearthed.greenpeace.org/2022/01/14/agribusiness-giant-cargill-amazon-deforestation/.

WWF Brasil. "Most of the Profit from Soybean Production in Brazil Goes Abroad." WWF Brasil, www.wwf.org.br/?86520/Most-of-the-profit-from-soybean-production-in-Brazil-goes-abroad#:~:text=Most%20of%20the%20profit%20from,Brazil%20goes%20abroad%20%7C%20WWF%20Brasil&text=The%20billionaire%20soybean%20chain%20market,absorbed%20by%20Brazilian%20business%20groups.

Statista. "Soybean Production Volume in Brazil from 2010 to 2023." Statista, www.statista.com/statistics/741384/soybean-production-volume-brazil/.

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Statista. "Brazil: Soybean Oilseed Consumption 2013-2023." Statista, www.statista.com/statistics/1006415/soybean-oilseed-consumption-brazil/.

Swanson, K., & Meyer, S. (2024, February 21). *The United States, Brazil, and China soybean triangle: A 20-year analysis*. Farmdoc Daily. University of Illinois. https://farmdocdaily.illinois.edu/2024/02/the-united-states-brazil-and-china-soybean-triangle-a-20-year-analysis.html.

ClientEarth. (2023, May 4). Agricultural giant Cargill faces legal complaint over deforestation and human rights failings in Brazil. ClientEarth. Retrieved from https://www.clientearth.org/latest/press-office/press/agricultural-giant-cargill-faces-legal-complaint-over-deforestation-and-human-rights-failings-in-brazil/.

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Bureau of Economic Analysis. (n.d.). Gross domestic product by industry. U.S. Department of Commerce. Retrieved November 5, 2024, from https://apps.bea.gov/iTable/?reqid=150&step=2&isuri=1&categories=gdpxind.

Concern Worldwide. (2024, February 10). Foreign aid by country: Who’s getting the most — and how much? Retrieved November 5, 2024, from https://concernusa.org/news/foreign-aid-by-country/.

Greenpeace USA. (n.d.). 10 years ago the Amazon was being bulldozed for soy—then everything changed. Greenpeace USA. Retrieved November 15, 2024, from https://www.greenpeace.org/usa/victories/amazon-rainforest-deforestation-soy-moratorium-success/. 

Earth.Org. (2022, October 9). 13 inspiring quotes about deforestation. Earth.Org. Retrieved November 15, 2024, from https://earth.org/13-inspiring-quotes-about-deforestation/. 

U.S. Department of Agriculture, Foreign Agricultural Service. (n.d.). Production - Soybeans. Retrieved November 15, 2024, from https://fas.usda.gov/data/production/commodity/2222000.