Brazil′s Hidden Green Stack

Brazil′s Hidden Green Stack

While recently listening to The J Curve podcast featuring Valor Capital’s Paulo Passoni , one insight in particular stood out:

"We're very lucky to have such a visionary Central Bank, and Brazil is a very innovative country from a digital economy perspective. We call this Brazil′s stack. I think after South Korea, Brazil is like number two in the world in terms of creating and adopting digital solutions. Brazilians have their driver’s licenses on their phones—how many other countries have that? Not a lot."

Indeed, many Brazilians take their country’s digital sophistication for granted, while the rest of the world remains unaware. Brazil introduced an electronic voting system in 2000, making elections secure, fast, and transparent. In 2020, the Central Bank launched Pix, a real-time digital payment system that now surpasses all credit and debit transactions, offering free, instant transfers 24/7.

Much of this innovation was driven by necessity—Brazil’s history of hyperinflation and fraud—but efficiency and ease of use have also fueled progress.

This got me thinking: Brazil’s stack actually extends far beyond what Paulo mentioned. The same forces that shaped its digital and financial advancements are also at play in the agriculture frontier.

Brazil is very fortunate to have a visionary Central Bank leading financial sector innovation but it is equally lucky to have a visionary agricultural research agency, Embrapa, leading the way in sustainable tropical agriculture and bioenergy. I call this Brazil′s Green Stack.


Brazil’s Regenerative Ag Practices

Contrary to popular belief, Brazil is a global leader in regenerative farming, combining high productivity with environmental preservation.

Some examples of common sustainable practices include:

  1. No-Till Farming:
  2. Protected Natural Reserves on Farms:
  3. Integrated Crop-Livestock-Forest Systems (ILPF):

Despite being one of the world's largest agricultural producers, Brazil uses only about 7.6% of its land for crops, while 66% remains covered by native vegetation.


Brazil’s Agricultural Biotech Market: Leading the Global Shift

Brazil is the fastest-growing agricultural biotech market, driven by rising input costs and sustainability goals.

Key Facts:

  • The Brazilian Ag Biologicals Market grew 35% year-over-year, projected to surpass $2 billion by 2025.
  • Rhizobacteria programs significantly reduce reliance on synthetic nitrogen fertilizers.
  • Major players like Bayer, Corteva, and Syngenta are expanding their bio-based input investments in Brazil.

With soaring fertilizer prices and carbon reduction efforts, Brazil’s leadership in biotech is shaping the future of the global agricultural biological market.


Brazil’s Renewable Energy Powerhouse

Brazil’s energy matrix is among the greenest in the world, dominated by hydroelectric, biomass, wind, and solar power.

Key Energy Sources:

  • Hydropower: 60%+ of electricity comes from hydro, with Itaipu Dam supplying 10% of total power.
  • Sugarcane Biomass: The world’s largest bioenergy program, powering entire states like S?o Paulo during harvest.
  • Wind Energy: Brazil is a top 10 wind energy producer, with wind farms supplying 12% of electricity.
  • Solar Power: Now 10% of the grid, with rapid growth in rooftop solar and large-scale farms.

Despite the high cost of capital, Brazil’s investments in smart grids, energy storage, and floating solar-hydro hybrids ensure continued renewable energy leadership.


Brazil’s Biofuels: The World’s Most Advanced Flex-Fuel Market

Brazil has led in biofuels for over four decades, particularly sugarcane ethanol and biodiesel.

Key Biofuel Facts:

  • Flex-Fuel Dominance: 80% of new cars can run on sugarcane ethanol, gasoline, or a mix.
  • Ethanol Production: 30 billion liters annually, covering 48% of Brazil’s road transport fuel needs.
  • Biodiesel Mandates: 14% blend required today, with a target of 20% by 2030.
  • Environmental Impact: Sugarcane ethanol cuts CO2 emissions by up to 90% versus gasoline.

Brazil is exporting its flex-fuel expertise to India and Southeast Asia as global demand for clean transport solutions grows.


The Global Opportunity for Brazil’s Green Stack

Brazil is uniquely positioned to lead sustainable development, combining biotech, clean energy, and biofuels. Just as the world was unaware of Brazil’s digital innovation in finance, it also undervalues its green potential.

As developed countries struggle with energy transitions, carbon policies, and food security, Brazil already has the solutions—and a hungry market to drive adoption.

Brazil’s Green Stack isn’t just an opportunity for Brazil—it’s a blueprint for regenerative agriculture everywhere.

Thanks for reading and don’t forget to leave your comments below!

KFG ??


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Kieran Finbar Gartlan is an Irish native with over 30 years experience living and working in Brazil. He is Managing Partner at The Yield Lab Latam, a leading venture capital firm investing in Agrifood and Climate Tech startups. All views, opinions, and commentary expressed are strictly his own.



Fabrício Peres

Business Development Executive specialized in Sustainable Agriculture and Food Supply Chains | Marketing and Strategic Planning | Consulting Services | Interim Management

1 周

Great article Kieran, spot on! If I may add, in the context of ambitious emission reductions by food companies, in which scope 3 (which includes agricultural activities) Brazilian farmers are uniquely position to enable them reaching such targets. With digital transformation in place, accuracy and transparency on field level emissions, empowered by such regenerative practices should create a competitive edge for our farmers!

Matt B.

Telecom Professional

1 周

Excellent read Kieran. I was under the impression that all cars made in Brazil were required to be flex fuel. Maybe that 20% is cars being built outside Brazil and imported in? Also the trick is trying to get small farmers to adapt their long standing practices of using carbon based fertilizeres, to bio. Just because you can lead a horse to water doesn't necessarily mean he's gunna drink.

Augusto Andrade

Product Management | NetZero | Energy Transition

1 周

Nice one Kieran Gartlan, there is also a whole domain gaining traction in the country where there could be a substantial upside for farmers/landowners. If you trace back to the country’s name, a tree used to extract valuable dye, you’ll find both a challenge and an opportunity: valuable, sought after tropical rare woods were some of the first deforestation drivers Brazil had. The investment made on Eucalyptus research since the 70s made the productivity grow from 12 to 40 m3/ha/year, whilst native species remained flat at around 10. There is a collective in Brazil creating a massive program to increase the productivity of silviculyure with native species. But this time, it will be a driver of reforestation.

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