Brazil: domestic prices of corn still high

Average prices of corn in Brazil continue to grow, but now in a slower pace, according to the Center of Advanced Studies of Applied Economics of the University of São Paulo (Cepea). The slow down is attributed by Cepea to the external value of the cereal and a recovery of the Real value compared to the U.S. dollar.

According to Cepea, the bullishness comes from the perspective about the next crop, which may suffer impact of the drought and the delays of soybean plantings. The current stocks are still a record, but the exports can alter this scenario.


It’s official: Argentina now can export sorghum to China

Argentina’s exports of sorghum to China are officially authorized by Chinese authorities this Monday. The permission is a result of a phytosanitary agreement between the two countries signed on July of 2014. China’s General Administration of Quality, Inspection, and Quarantine Supervision highlighted the agreement was a result of a visit of president Xi Jinping.

Until 2012, Chinese sorghum imports were not higher than 100,000 annually, mostly used for alcoholic beverages. In 2013, after some local farmers started to use it to forage, the demand jumped to 2.4 million tons. The top world’s sorghum suppliers are Argentina, Australia, and the United States.


Soybean planting reaches 76% of surface in Brazil

Soybean planting advance 13 percent in one week considering the forecast surface in Brazil, according to a report from consultancy AgRural. The consultancy says that the country reached 76 percent of the total area last Friday.

Now planting  is just three percent delayed compared to previous years. A dry weather favors the appearance of caterpillars throughout the country. Helicoverpa armigera (known as the earworm in North America) was detected on soybean crops in Paraná, Rio Grande do Sul, and Goiás. The most advanced location is Mato Grosso do Sul – with 95 percent of the area.


Wheat losses in Rio Grande do Sul estimated at 42.3% of the crop

According to a report from the Rural Institute of Technical Assistance of Rio Grande do Sul, the southern-most state of Brazil lost nearly 42.37 percent of the expected wheat production. The reason of the losses were torrential, rains, fungus, and other diseases. The initial estimate was 3.1 million tons, but now it has dropped 1.81 million tons.

Harvest works are almost finished in major regions like Santa Rosa or Ijuí. Overall, the state of Rio Grande do Sul  harvested 79 percent of the surface of 2.8 million acres. Generally, soybeans are planted over the state in the state.


Argentina’s national bank blocks credit for farmers that retain soybeans

Argentina’s Banco Nación, the main source of agricultural credit in the South American country, confirmed that it will not lend money anymore to farmers who keep their soybeans stored waiting for a better payment. The measure was called an extortion by rural leaders.

“These restrictions are part of a discriminatory practice of this government that wants to force producers to sell the last grain of our harvest with stocks at the same level of last,” Argentina’s Rural Society stated.

The issue has been a subject of conflict of Argentinean farmers and the government for several years because of the extreme need of foreign reserves in the country and the Kirchner administration’s ideology.

 

Brazil’s Paraná harvested 96% of wheat surface

The weekly report of Department of Agriculture the southern Brazilian state of Paraná informed that 96 percent of the wheat surface in the state was already harvested. About 82 of the crop is considered good or excellent, 16 percent is average, and two percent are under bad conditions.

With nearly 3.5 million tons of the wheat produced in the state being used for bread and 2.5 million tons for the local grind, consultancy Trigo & Farinhas forecasts that there won’t be a significant need for imports from Paraguay in the state.


Uruguay harvested 10% of wheat surface

Uruguay already harvested nearly 10 percent of the expected surface for wheat, according to Monitor Agrícola. Brazilian consultancy Trigo & Farinhas informed that there is not a definition yet on the trend quality and reported that some of wheat harvested is already being used to feed animals. At the local mills, price ranges from US$ 205 to US$ 210 per ton.


Soybean planting reaches 63% of surface in Brazil

The soybean planting reached 63 percent of the total surface in Brazil, according to a report released yesterday by consultancy AgRural. In one week, the advance was of 17 percent mostly pushed by rains in the center-west. However, there is still a delay of six percentage points compared to the same period of last year.

In center-western states like Mato Grosso, the weather was too dry throughout the month of October, something that has stopped planting for a while. In that state, the number one producer of soybeans in Brazil, planting reached 82 percent of the area. In the southern state of Paraná, it now got to 76 percent of the oilseed surface.


200 trucks caught smuggling soybeans in Argentina border

Nearly 200 trucks were caught trying to advance over the border of Argentina to Brazil with 6,000 tons of soybeans last Friday. The drivers were attempting to cross the border to smuggle the grains illegally and to avoid the export taxes called locally as retentions. For the second week in a row, the beans seized came from the Chaco province. Argentinean authorities now say that “ghost” farm associations do the smuggling purchasing the soybeans from small farmers using their fiscal data and they are helped by former federal employees to falsify the documents.


Soybean planting in Mato Grosso advances

Farmers in the Brazilian state of Mato Grosso were able to advance faster the soybean planting this week and reached 84.1 percent of the expected surface, according to the Mato Grosso Institute of Agricultural Economics. Now, planting is just nine percentage points delayed compared to last year. A week, the delay was 19 percent. Due to the lack of rains, the works had stopped in early October.