March 8, 2007

Brazil 2006/2007 grain output to reach 127.65 million tonnes
 

Brazilian grain output for the 2006/2007 crop year is seen to hit an all-time high of 127.653 million tonnes, up 5.7 percent year-on-year, estimates shown by the country's federal agricultural supply company Conab on March 7, 2007.

Brazil's last record high grain output was registered in the 2002/03 crop year and stood at 123.2 million tonnes. This is Conab's sixth forecast for the country's grain output in the 2006/2007 crop year and exceeds by 0.9 percent its previous projections from February 2007.

Conab noted that the main reason for the expected high output were the favourable weather conditions for farming grain crops. Brazil's main crops--corn and soybean--is projected to increase by 14.7 percent and 6.2 percent to 48.752 million tonnes and 56.71 million tonnes, respectively.

However, grain planted areas are seen to decrease by 3.5 percent to 45.65 million hectares. The biggest reduction of 7.4 percent or 1.649 million hectares is expected to occur in the soybean planted areas.

(Note: Unless otherwise stated, all figures are for crop year 2006/07, compared to crop year 2005/06.)