October 19, 2007

Brazil's grain brokerage puts new soy crop at 61.3 million tonnes 

Brazilian grain broker Cerealpar estimated Thursday (October 18) a 61.3 million- tonne soy crop for the 2007/08 season.

The crop is currently being planted in Mato Grosso and Parana states, the top two producers.

Steve Cachia, senior commodities analyst at Cerealpar in Parana state, said that weather would play a bigger role this year.

"With the start of the season already beginning outside of the usual climate conditions, the major factor on production is going to be the weather outlook," Cachia said.

The 61.3 million tonnes estimate, on par with other market estimates, considers favourable weather conditions.

Farmers had to delay planting in Mato Grosso this month because of dry conditions.

Brazil harvested around 58 million tonnes of soy in the 2006/07 season, a record.

Cerealpar expects Brazil to increase planted area by 5 percent to 21.7 million hectares. The number is in line with government estimates.

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