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Brazilian Court Restores Soy Moratorium Protecting Amazon Region

By  |  August 27, 2025

A federal court in Brazil has reinstated a landmark agreement preventing commodities traders from purchasing soybeans grown on deforested land in the Amazon, just one week after it was struck down.

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    The ruling, handed down Monday, overturned a decision by Brazil’s competition authority, Cade, which had annulled the moratorium on grounds that it restricted competition and hurt the nation’s oilseed exports. According to a statement contained in the court ruling, Cade’s move was deemed “disproportionate and premature,” as it failed to weigh environmental analyses tied to the agreement.

    The soy moratorium, introduced in 2006, has been credited with slowing deforestation in one of the world’s most vulnerable ecosystems. It is enforced by industry representatives and 30 of Brazil’s largest exporters, many of whom have faced international pressure—particularly from the European Union—to address forest destruction. Per a statement from Greenpeace Brazil, lifting the moratorium risked accelerating deforestation across the Amazon.

    Brazil remains the world’s largest exporter of soybeans, shipping nearly 97 million tons between January and November 2024, according to the state-owned National Supply Company. The pact requires traders not to buy soy cultivated on land cleared after 2008, a key safeguard against unchecked expansion.

    Read more: Brazil’s Antitrust Watchdog Probes Soybean Traders Over Cartel Concerns

    The now-overturned Cade decision had sparked backlash among environmental and climate advocates. The regulator had given traders just ten days to withdraw from the agreement or risk facing substantial fines. Brazil’s powerful agribusiness sector, backed by significant congressional support, has been lobbying for the pact’s removal in order to expand soybean production deeper into forested areas.

    Data cited in a report on the moratorium showed that soybean cultivation in the Amazon surged 344 percent between 2009 and 2022. Yet during the same period, deforestation decreased by 69 percent in regions monitored under the agreement, highlighting its environmental impact.

    Source: BSS News