January 8, 2010

Brazil soy crop forecast rises onset rain

Brazil's 2009-10 soy crop forecast rose to a record 65.16 million tonnes from 64.56 million tonnes in December due to above average rainfall in the grain belt.

Brazil harvested just over 57 million tonnes of soy in the previous season.

"In December, rains were above average in practically all the productive regions and were most intense in the southeast and center-west," crop supply agency Conab said earlier this week.

Conab said that precipitation favoured flowering and grain formation in the south, a major soy producing region.

Also, Brazil's total 2009-10 corn crop would reach 50.49 million tonnes, up from 50.15 million tonnes forecast in December. Brazil harvested 51 million tonnes of corn in 2008-09, Conab said.

According to the agency, the 2009 wheat crop estimate was lowered to 5.03 million tonnes from 5.10 million tonnes in December. Brazil harvested 5.88 million tonnes in 2008.