When the World Trade Organization’s Appellate body upheld Brazil’s challenge to the U.S. cotton program recently, Brazil used its status as a “developing nation” to attack America’s farm policy. But when a group of Alabama farmers visited Brazil in March, they saw agricultural operations that are just as “developed” as those in the states.”I disagree with Brazil being a third-world country,” said Madison County farmer Mike Tate. “For the most part, they have the same technology as we do, but they get it a lot cheaper than us. We are subsidizing them. We pay to develop the technology in the United States, and they get it for little or no cost.”Tate’s impressions of the South American country were shared by other farmers and agricultural leaders who participated in the 11-day tour, organized by Southern Cotton Growers. Besides Tate, Alabama participants included Alabama Farmers Federation Cotton Director Buddy Adamson, Lee County Farmers Federation President Tom Ingram, Blount County farmer Jimmy Miller, Limestone County farmer Jimmy Newby and Lawrence County farmer Sam Spruell.While in Brazil, the Alabama farmers visited agricultural operations in the states of Mato Grasso and Bahia, where much of the country’s cotton is produced. Adamson said Brazil has tripled its cotton production since 1996, and there is still room for expansion.”They have an almost endless source of land, but the one serious thing they lack is the infrastructure–railroads and highways,” Adamson said. “They rely on trucking to get their crop to the grain elevator and to the ports. If they ever get the infrastructure problem solved, the American farmer is going to be seriously affected.”Miller said he was impressed by the size of the farms in Brazil. At one stop, the group stood in a field where the rows were five miles long, and they visited farms that spanned 10,000 acres. But the farms aren’t just big; they also are technologically advanced. Although genetically modified crops weren’t legalized in Brazil until the week of the tour, Miller said farmers already were growing the engineered varieties–only their seed costs and technology fees are a fraction of what American farmers pay. Brazil’s farmers also utilize conservation tillage, and their equipment is just as sophisticated as that found in the United States.Brazilian farmers, however, have advantages over their U.S. counterparts. Land is abundant and cheap; labor is inexpensive, ranging from $150-$700 a month; rainfall is plentiful; temperatures are mild; the growing season is long; and the government subsidizes farmers by loaning them up to $500,000 each at about a third of the interest rate charged other citizens.Meanwhile, Tate said American farmers are footing the bill. Through producer-funded checkoff programs, U.S. farmers have dramatically increased cotton’s share of the world fiber market–creating a huge market for the crop. Brazilian farmers are responding to that demand by increasing their cotton acreage. But like Alabama farmers, they have been plagued in recent years by low prices and increasing input costs.”They are seeing the same things we are, but they have a lot of land they can shift over into cotton production,” Tate said. “If we ever see prices tick up a little, they will fill us up with cotton.”