Relationship

BrasilAgro relies on suppliers and outsourced companies that provide raw materials such as fertilizers, seeds and machinery as well as those who work on the development and farming of the Company’s agricultural properties.

The Company’s relations with suppliers are based on market conditions, that is, several suppliers submit their proposals, which are analyzed to assess the one with the best raw material and inputs offer. All BrasilAgro’s suppliers and service providers have the documentation required for to perform their activities, both in the environmental and occupational safety scopes.

Agreements are drafted in order to require third parties to give the environment the same attention the Company does in all its units; and agreements can be terminated in case of non-compliance. Furthermore, suppliers are periodically inspected, and corrective measures are implemented whenever necessary, which include offering the same training and directions which are provided to the Company’s employees.

In order to ensure suppliers act in accordance with the Company’s requirements, good practices and quality demand, BrasilAgro is developing consistent indicators to, in the upcoming harvest, assess the performance of suppliers rendering machinery services and to audit their results by sampling, supported by an independent auditor. Therefore, agreement renewal or termination can be based on the result of performance evaluation.