Ricardo Pereira - The central role of agriculture in contemporary society

The central role of agriculture in contemporary society

As an economist concerned with the country's economic sustainability, I understand that agriculture plays a central role in contemporary society, especially in Portugal, not only as a food supplier but also as an economic, social, and environmental pillar. Since the Agricultural Revolution, humanity has depended on agriculture for its sustenance and development. However, it was in the 20th century that agricultural mechanization and scientific advances enabled more efficient production, ensuring safer and more affordable food.

In Portugal, the Common Agricultural Policy (CAP), implemented in 1962, aimed to ensure food security and promote productivity. However, the CAP currently faces the challenge of balancing productivity with environmental sustainability, aligning with the European Green Deal and strategies such as " Farm to Fork." This pact aims to reduce the excessive use of chemicals, energy, and water, promoting more sustainable agricultural practices. Modern agriculture has also contributed to improving the Portuguese diet. Comparing food balances from 1938 with today's, there is a significant increase in the availability of calories and proteins from animal sources. This progress reflects the increase in average life expectancy and average height of the population, highlighting the benefits of a richer and more diverse diet.

However, challenges remain that require a comprehensive approach, with water resource management needing to be much more efficient from the outset. The competitiveness of the agricultural sector depends on the valorization of the national genetic heritage and investment in sector innovation. Furthermore, it is essential to improve communication between the agricultural sector and society, promoting a positive and informed public image.

Data available from Compete2020 shows that between 2010 and 2022, Portuguese agri-food industry exports grew by 7% per year, reaching a record €8.19 billion in 2024, driven by market diversification and innovation.

This growth highlights the importance of investing in processing units of different sizes, from large industries to small and medium-sized companies, distributed throughout our territory.

Agriculture has been and will be a vital sector, facing complex challenges that require diverse, innovative, and sustainable solutions and approaches. Recognizing its importance is the first step toward implementing integrated policies that will be essential to ensuring food security, environmental sustainability, and the economic and social development of our country.

Ricardo Pereira

Economist

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