March 1, 2004

Brazil Soy Crop Estimates Cut On Drought
 
Brazil's No. 2 soy producing state, Parana, will harvest 8.8% less soy than initially expected this season due to drought in the west and north of the state, the state's agriculture department, Seab, said Friday.
 
According to research carried out by the state's agriculture research institute Deral, soy production in 2003-04 will total 10.9 million metric tons, down 900,000 tons from initial estimates of 11.8 million tons, made in December.
 
"The drought was worse than originally estimated at the beginning of the month, especially in the west of the state," Deral agronomist Otmar Hubnar said.
 
Earlier this month, Deral lowered its estimates to 11.1 million tons, based on preliminary evaluation of drought damage.
 
According to local weather forecasters, rains will only return to the region at the beginning of March.
 
"We will continue evaluating conditions and revise our estimate at the end of next month," said Hubnar.
 
The state's total soy planted area is seen at 3.9 million hectares this season, down from 3.6 million hectares last year.