April 14, 2023

 

Brazil's soybean harvest reaches record high, corn production up

 

Brazilian farmers will harvest a record 153.6 million tonnes of soybeans this season, up 2.2 million tonnes from a March forecast as harvesting concludes in the world's largest soybean exporter, Nasdaq reported.

 

Conab, the Brazilian government's food supply and statistics agency, cited adjustments in national average yield estimates as a factor in the upward revision in a report released Thursday.

 

The new report confirms that lower soy output in Rio Grande do Sul state, where a drought affected a portion of the crop, was offset by favourable conditions elsewhere.

 

Conab said farmers will harvest an average of 3,527 kg of soy per hectare. In the 2022/23 cycle, they planted the most land in history and achieved record average yields and production.

 

Carlos Gogo, a consultant, said yields outside of Rio Grande do Sul, from Paraná upwards, were far above normal averages. He noted that adequate rainfall and sun exposure in key producing regions compensated for lower fertiliser applications.

 

Conab projected that total corn production in Brazil will reach a historic high of 124.9 million tonnes, a slight increase from the projection released last month, despite the fact that some farmers were forced to plant their second corn outside the ideal climate window due to soy harvest delays.

 

Second corn is planted in the same areas where soy is harvested and accounts for 70%-75% of total output in a given year.

 

Conab forecasted Brazil's second corn crop at 95.3 million tonnes, up from 95.6 million tonnes last month, while raising the first corn harvest forecast to 27.2 million tonnes by around 500,000 tonnes.

 

The current forecast for total grain harvest in 2022/23 is 312.5 million tonnes, up from 309.9 million in March. Conab reported an annual increase of about 15%, owing to higher soybean and corn outputs.

 

-      Nasdaq