June 24, 2010

 

Brazil's 2010 grain output to hit near record high

Brazil's grain harvest is on track to meet historic 2007-08 crop levels by the end of 2010, according to a new survey released this month by the National Supply Company (Conab).

 

The 2010 harvest is expected to yield 144 million tonnes, representing a 6.5% increase from the previous year. This performance is approaching the 2007-08 harvest yields of 144.1 million tonnes, the largest in Brazil's history.

 

"Brazil is an agricultural superpower, leading the world's supply of essential food commodities," said Minister Stephanes. "We will keep a close eye on the 2010 harvest, as it is very close to setting a new record for Brazil. Grain production continues to be a driving force behind our growing agribusiness exports."

 

The positive performance in the grain sector is due in part to increased productivity and steady rainfall. Soy production is leading the performance with an anticipated 18.2% on-year increase in annual production to 67.57 million tonnes.

 

In the years from 1975-2008, Brazil's agricultural productivity growth rates averaged 3.66%, ahead of China (3.2%), Australia (2.12%) and the United States (1.95%), according to a study prepared by the Brazilian Office of Strategic Management within the Ministry of Agriculture, Livestock and Food Supply.

 

Brazil's strong agricultural performance was driven by genetic technologies and the introduction of new cultivars that yielded higher productivity in key commodities such as soy, corn, coffee, sugarcane, meat, fruit and vegetable products.