September 28, 2007

  

Lack of rain may push Brazilian soy farmers to replant

 

 

No rain in a typically moist month has farmers in Brazil's top soy-producing state of Mato Grosso worried that they may have to replant what they just put in the ground two weeks ago.

 

Some large producers, including internationally known soy king Blairo Maggi, planted their 2007-08 crop soy at the first sign of rain this month.

 

Mato Grosso is the first to plant its soy crop.

 

About 30 millimetres of precipitation moistened areas around Sapezal and Lucas do Rio Verde on September 17, prompting hasty planting.

 

It hasn't rained since then, however, and no other Mato Grosso farmers have stepped up to the risky task of planting with no guarantee of moisture in the near future.

 

"If it doesn't rain within the next week, farmers will lose what they planted," said Daniel Sebben, a soy analyst at agribusiness consulting firm AgRural.

 

Last year at this time, about 10 percent of the areas destined for soy around Sapezal had already been seeded, compared to 3 percent this year, which may have to be replanted, Sebben said.

 

Soy growers are beginning to worry more seriously about the timeframe they have for planting their new corn and cotton crops.

 

"Farmers who plant cotton are the most concerned, as their window of opportunity is getting smaller," said Sebben.

 

Cotton must be planted in January for a reasonable harvest, whereas corn can be planted up to February 20, he explained. The longer it takes some of these farmers to plant soy, the longer it takes for them to harvest those particular soy fields, taking time and space away from planting 2007/08 cotton.

 

The outlook is not positive for the early-bird planters. According to Southern Marine Weather Service, or Somar, one millimetre of rain is forecast by the end of this week in the Sapezal region. Lucas do Rio Verde has no rain in the forecast for the next 10 days, according to Somar. Sapezal will also be dry next week.

 

Both were the first towns to plant soy for the new crop. Most of the country begins planting soy around October 15.

 

Brazil is the No. 2 soy producer and exporter behind the US