Bunge buys 30pc of Brazilian distributor

Agribusiness trading firm North American Bunge will acquire 30pc of Agrofel Graos e Insumos, an agricultural feedstocks and supplies distributor from southern Brazilian state Rio Grande do Sul.

Financial details of the deal were not disclosed. Other businesses in Agrofel's parent company, Ferrarin, are not part of the transaction.

Bunge Global president Raul Padilla said the investment is in line with the company´s growth strategy, combining Agrofel's local relationships with Bunge's strengths to "increase our origination capillarity in one of the most relevant states in soybean cultivation."

Agrofel is a 42 years-old company with capacityof almost 450,000t. It has 38 warehouses and stores, and originates around 1mn t of grain per year, including soybeans, corn and wheat.