July 16, 2012

Brazil's 2012-13 soy harvest likely to exceed US crop

For the first time in history, because of the drought in the US Midwest growing areas, Brazil's 2012-13 soy output could surpass US production of the oilseed, local analyst Agroconsult said on Friday (July 13).

Under normal weather conditions, Brazilian farmers are expected to harvest a record 83.1 million tonnes of soy next season, which would be a 25% jump from the 66.4 million tonnes harvested from the drought parched crop that ended in May, the analysts said.

Local farmers are expected to plant a record 27.9 million hectares of area in the coming 2012-13 season that starts sowing in September, up from 25 million hectares this past crop.

The US is currently suffering from a hot, dry spell that is ravaging its soy and corn crops across the Midwest grain belt.

Brazil will likely shift more of its corn planting to the winter crop to allow for soy planting during the summer. The winter corn crop is expected to surpass the summer crop planting for the first time.

Agroconsult expects Brazil' summer corn planting to fall to 7.1 million hectares from 7.9 million this past crop, while winter planting is due to rise to 7.9 million hectares from 7.1 million this season.