March 14, 2006
Brazilian corn production may rise, doubling exports, USDA says
Brazil, the world's third largest corn producer, may boost output 17 percent in the year ending February 2007, almost doubling the amount available for exports, the US Department of Agriculture said.
Corn output from Brazil may is expected to reach 41 million tonnes, from an estimated 35 million tonnes in the year ended February 2006. Exports will nearly double to 1.1 million tonnes from 600,000 tonnes, the agency said in a Mar 9 report.
Brazil's exports are poised to surge at a time when China, the world's second-biggest grower of corn, may turn into a net buyer of the grain. China may buy 50 times more corn next year than in 2006, as rising incomes enable more consumers to afford meat, boosting demand for animal feed made from corn.
Corn futures fell last week, dropping 2.1 percent to $2.345 per bushel on Friday.
Meanwhile, Brazil clarified its stand on GM soy through its National Biosafety Commission (CTNbio) yesterday, saying that it is legal for one type of GM soy to be planted while GM corn is only allowed for animal feed, not human consumption or planting.
Brazil allowed planting of the Monsanto GM soy, known as Roundup Ready (RR) in 1998, after a long legal battle.
At the same time, it is legal in Brazil to import GM corn for animal feed, but not for human consumption or planting.
There are no limits on the percentage of GMO in GM soy grown in Brazil although there must be labelling informing consumers of their presence.
At the moment, the CTNbio is examining requests for authorization of eleven more GMOs.
Joao Paulo Capobianco, the secretary of Biodiversity and Forests at the Ministry of Environment said the Brazilian government has not defined its position on GMOs.
The government's stand on labeling remains ambivalent, says Capobianco. For the moment, there is a leaning towards generalized rather than detailed labelling. Thus, a product would be labelled "may contain GMOs," rather than "contains GMOs."
