June 7, 2007

Brazil 2006/2007 grain production seen at record high of 130.68 million tonnes

Brazilian grain output for the 2006/2007 crop year is seen to reach a record high 130.68 million tonnes, up 8.1 percent year-on-year, according to the latest study of the country's federal agricultural supply company Conab. 

The current record high output was registered in the 2002/2003 crop year.

Soybean, corn and cotton are the main drivers seen to contribute to the projected increase. Soybean output is estimated at 58.02 million tonnes, up 8.6 percent while corn and cotton output is estimated at 50.66 million tonnes and 2.29 million tonnes, up 19.2 percent and 35.9 percent, respectively.

Despite the expected record high output, Brazil will decrease its grain crops planted areas to 46.075 million hectares or 2.7 percent down.

Conab's projections indicate a higher soy bean productivity, as soy bean planted areas are seen to decrease to 20.654 million hectares, down 7.1 percent. In turn, corn planted areas are seen to grow by 6.9 pct to 13.858 million hectares.