Artificial Intelligence Gains Ground in Agribusiness, New Survey Shows

Leaders in Brazil’s agribusiness sector are increasingly prioritizing artificial intelligence (AI) as a key tool for enhancing the sector’s sustainability and competitiveness, especially in response to the challenges posed by climate change. PwC Brazil highlights this trend in the survey ‘The Reinvention of Brazilian Agribusiness.

Plans for AI Integration in the Next Year

The study reveals that 78% of agribusiness CEOs plan to invest in integrating AI with technological platforms within the next 12 months, surpassing the national average of 69% across all sectors. These leaders expect AI solutions to help tackle an increasingly uncertain environment, marked by extreme weather events.

Climate concerns are especially pressing in the agribusiness sector: 56% of sector leaders in Brazil regard climate change as their primary threat, a far higher figure than the national average of 21% and the global average of just 14%. According to Maurício Moraes, partner at PwC Brazil and head of the Agribusiness sector, this perception aligns with the challenges faced in the field. “Climate change is indeed the greatest short-term threat to the sector,” he states.

Additionally, 44% of agribusiness executives believe their businesses could become unviable within the next decade if they do not undergo significant transformations. The urgency for innovation is driven by the need for precise data. “Today, producers need more than just machines—they need intelligence. If the data generated isn’t analyzed, the company loses competitiveness,” emphasizes Moraes.

Sixty-one percent of leaders believe that AI will boost financial results in the short term, marking a significant increase from the 46% who believed the same in 2024. The maturity in AI usage has grown, and with it, the confidence in its return has also increased, adds Moraes.

Technological Barriers and the Need for Improved Weather Forecasting

While Brazil has made strides in adopting technology in the field, barriers remain, such as the lack of precision in weather forecasts. According to Moraes, developed countries have access to more advanced software, giving them a strategic advantage.An unexpected weather event can seriously impact a producer if it occurs during the input application window, for example.

Recent events, such as floods in Rio Grande do Sul and severe drought in the Amazon, have reinforced the perception of climate risk among agribusiness executives.

To foster innovation, 44% of agribusiness CEOs have already partnered with open innovation hubs or other organizations, surpassing the national average of 33%. These collaborations aim to develop practical solutions to existing problems, with a focus on efficiency and productivity.

AI’s Role in Improving Agricultural Practices

“Artificial intelligence, for example, allows for more precise fertilizer application, reducing costs and improving the effectiveness of crop management,” highlights Moraes.

Another challenge identified in the survey is the shortage of skilled labor. In agribusiness, 38% of leaders see this limitation as a serious threat—above the national average of 30% and the global average of 23%. “We need professionals who can collect, analyze, and interpret data to make better decisions in the field,” concludes the expert.

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