November 11, 2010

Brazil's 2010-11 soy estimate caps at 69 million tonnes

National Commodities Supply Corp, or Conab, on Wednesday (Nov 10) estimated Brazil's upcoming 2010-11 soy crop at between 67.7 million tonnes and 69 million tonnes.

If achieved, Conab's upper range would set a record, exceeding the bumper crop of 68.7 million tonnes last season.

Widespread rains have returned to soy-growing regions recently, which have alleviated some concerns for the time being about the impact of La Nina. The La Nina weather phenomenon typically brings low average dry weather that can harm the crop in Brazil, which is the world's No. 2 soy producer after the US.

Conab's forecast is near estimates given by a range of agricultural consistencies that peg the crop at about 68 million-69 million tonnes.

The area of land devoted to soy will be in a range of between 23.74 million hectares and 24.2 million hectares in 2010-11, Conab said. This is steady from its first crop estimate and above the 23.5 million hectares of the prior season.

Brazilian producers have planted around half of their soy after prolonged dry weather delayed the planting process in some regions.