July 9, 2010

Brazil's 2009-10 soy output estimated at 68.7 tonnes

National Commodities Supply Corporation (Conab) on Thursday (July 8) estimated Brazil's 2009-10 soy output at 68.7 million tonnes.

Conab's tenth crop estimate for the record-breaking 2009-10 soy crop is 20.2% above the previous 2008-09 crop of 57.2 million tonnes and steady from its prior estimate in June.

Brazil is the world's second-biggest soy producer after the US and producers finished harvesting their soy in May.

Conab, which is part of Brazil's Ministry of Agriculture, said the expansion in soy production comes as producers increased the area planted with soy at the expense of its main rival, corn. Favourable weather also contributed to the large crop.

Conab said the area of land devoted to soy is 23.4 million hectares in 2009-10, up from 21.7 million hectares in 2008-09 and steady from the previous estimate.

Conab's soy estimate is in line with private estimates. In total, Brazil will produce 146.7 million tonnes of grain in 2009-10, which includes soy, corn and wheat. That compares with 135 million tonnes of grains in 2008-09.