July 15, 2024

Brazilian farmers project 90 million metric tonnes of second corn harvest despite smaller planted area

Brazil, one of the world's largest food producers, is expected to harvest 90 million metric tonnes of second corn in the current cycle, nearly 2 million tonnes more than forecast last month, according to crop agency Conab, Reuters reported.

Farmers are still reaping their second corn, which is planted after soybeans are harvested in the same fields and is mainly exported in the second half of the year. Second corn will represent about 78% of total Brazilian corn output in the 2023/24 season, Conab data shows.

Despite the adjustment in projections, Conab said that second corn and total corn production will be smaller this year than last year, partly reflecting a drop in planted area. For second corn, the area planted was nearly 6% smaller this season, with growers sowing 16.199 million hectares (40 million acres), the agency reported.

"The results achieved [so far] show the disparity in climatic conditions," Conab noted regarding the harvesting work. In states including Mato Grosso, Para, Tocantins, and parts of Goias, rainfall levels were well distributed throughout the development stage, resulting in good yields. However, yields were poorer in the northwest of Parana, Sao Paulo, and large parts of the cultivated areas of Mato Grosso do Sul, as the climate did not favour these regions.

The harvest of Brazil's second corn crop has continued to advance in all producing states, reaching 48% of the sown area at the beginning of July, according to Conab. If Conab's estimates are confirmed, Brazil's overall second corn production will be 12% smaller than in the 2022/23 crop year. Total corn production is likewise projected to be about 12% lower at 115.8 million tonnes.

Corn exports are also expected to be significantly smaller at 33.5 million tonnes in this cycle, compared with 54.6 million tonnes in the previous year, Conab stated.

-      Reuters