March 2, 2023

Brazil's soybean and corn crop forecasts for 2022/23 season raised

Financial services organisation StoneX has forecast a record soybean crop for Brazil for the 2022/23 season at 154.663 million tonnes, and for corn at another record of 130.61 million tonnes, Nasdaq reported.

The soybean forecast exceeds a prior February estimate of 154.209 million tonnes. Brazilian farmers are also expected to collect 100.8 million tonnes of second corn, which represents the bulk of national production.

Second corn is sowed after soy is harvested in the same areas.

StoneX's forecast showed yield prospects are favourable for Brazil's second corn in Mato Grosso, the country's biggest farm state, where output is now projected to reach 46.650 million tonnes, 6.1% higher compared to StoneX's February estimates.

StoneX said there is still hope for the soy crop despite the anticipated losses in Rio Grande do Sul, Brazil's most southern state, where some soybean fields were damaged by a protracted drought.

As opposed to the roughly 19 million tonnes predicted last month, the state is now expected to produce about 16 million tonnes of soy.

StoneX also said the possibility that Brazil will produce a record amount of corn this season will improve the country's export prospects.

Brazil's corn exports could surpass StoneX's previous prediction by 1 million tonnes and total 47 million tonnes this season.

-      Nasdaq