Management Report 2020 slide image

Management Report 2020

Management Report 2020 SLC Agrícola Operating performance 2019/2020 Crop Year Planted area and productivity The planted area contracted by 2.1% from the previous crop year, due to the delay in the start of rains in the state of Maranhão, which post- poned the planting of soybean and consequently reduced the planting potential of second-crop corn. Commercial soybean | For the third straight year, we set a new yield record, which is in line the Company's current strategy of focusing on maximizing operating efficiency. This yield was 8.1% higher than our initial projection and 15.4% higher than the national average (Feb/2021 estimate from CONAB). Soybean seed | Production of 373,000 bags of soybean seeds, of which 120,000 were used for internal consumption (as seeds for the 2020/21 crop year) and 128,000 in the verticalized model. In addition, 125,000 bags were sold under the brand SLC Sementes. The germination qual- ity indicator stood at 94.8%. TABLE 1. PLANTED AREA BY CROP, 2018/2019 vs. 2019/2020 Planted Area (hectares) Mix of crops Cotton First-crop cotton VA HA 19/20 2018/2019 2019/2020¹ 123,727 125,462 28.0 1.4 72,852 74,054 16.5 1.6 Second-crop cotton Soybean (com + seeds) Corn second-crop Other crops² 50,875 51,408 11.5 1.0 243,148 235,444 52.5 -3.2 89,312 82,392 18.4 -7.7 Total area 1,912 458,099 5,270 1.1 175.6 448,568 100.0 -2.1 1. Climatic factors may affect the projection of the planted area. 2. Wheat, corn first-crop, corn seed and brachiaria. First-crop cotton | Despite the crop's good development, some areas in the states of Bahia and Maranhão suffered water scarcity, with low hu- midity and high temperatures during the crop's planting. As a result, production potential was slightly reduced, leading to production 3.4% lower than the initial projection. However, final production reached 1,779 kg per hectare, 5.4% higher than the yield in the previous crop year. 28
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