Brazil’s National Supply Company (Conab) has released a new estimate for the country’s second corn crop. The agency forecasts an increase of 4.7 percent of the planted area, comparing to last year, and production to jump 44 percent reaching 58.5 million metric tons with yields 37 percent higher. The planting of the second corn crop has already started in the country and in the state of Mato Grosso it already advanced to 10 percent of the projected area. In the meantime, another major producer the state of Paraná in the south is in earlier period with just 4.5 percent planted, but there is a perspective of higher yields there as well. In the southeast, where big states like Minas Gerais and São Paulo are located, the surfaces tend to maintained and planting may start during this month.
Rosario Board of Trade: Argentina’s soybean production now estimated at 54.5 MMT; Corn output also raised
A new estimate from the Rosario Board of Trade puts Argentina’s soybean production expectation at 54.5 million metric tons, which means that the weather has improved a lot in areas previously affected by floods and fires. The previous estimate of the Board of Trade was at nearly 52 million metric tons. In the meantime there was also an improvement for the corn crop. The new estimate is that the Argentinian production of the cereal would be at 36.5 million metric tons – about one million higher than the prior forecast. The highest corn yields are seen in Córdoba, followed by the provinces of Buenos Aires, Santiago del Estero, Santa Fe and Entre Ríos.
Brazilian consultancy Céleres, which is based in Belo Horizonte, has released a crop report that reveals that the soybean harvest in the country has reached 11 percent of a surface of 83.5 million acres (33.8 million hectares approx.). There was a slow down of the works in the current and the previous weeks, but still the crop has a progress that is two percentage points ahead of last year. The overall production is expected by Céleres to reach 105 million metric tons. In previous weeks, the works were intense in the states of Goiás and Mato Grosso. For the consultancy, there is a perspective of lower domestic prices in the country with a stronger Real and a likely big output. Until February 3, the oilseed crop was nearly 40 percent sold – eight percentage points less than the previous crop.
The weather improvement in several parts of Brazil, as harvest advances, has pushed corn prices down in the country. According to the Center for Advanced Studies on Applied Economics (Cepea), the value of the cereal dropped 0.6 percent to R$ 35.96 per bag of 60 kilograms. States like Mato Grosso do Sul have been leading inputs.
The prices of soybeans in the Brazilian state of Mato Grosso, the top producing state in the country, fell 5.3 percent last week to R$ 58.01 per bag of 60 kilograms, according to the Mato Grosso Institute of Agricultural Economics (Imea). Analysts say that prices were influenced by more supply, the dollar devaluation and devalued soybeans in Chicago. The dollar has reached its lowest value in three months and ended last week at R$ 3.15.
So far in the year, there were exports of 5.68 million metric tons of wheat in Argentina of a total exportable volume of 9.5 milion metric tons, according to official data first published by local media outlet Valor Soja. Chinese conglomerate Cofco, which recently purchased Nidera, has approximately 23 percent of the market with 1.31 million metric tons, followed by Cargill (16.6 percent), Bunge (10.6 percent), LDC Argentina (9.9 percent), Association of Argentinian Cooperatives (8 percent), Toepfer (4.9 percent), Glencore (4.6 percent), among others. Reports also show that exporters have a surplus of purchased, which means that were not exported yet, of 1.02 million metric tons.
Curitiba consultancy AgRural has released this Friday (02.03) a new estimate for the Brazilian soybean crop and put its estimate at 105.4 million metric tons as the harvest in the country advanced to 10 percent of the area. The reason for the increase was that the weather has improved significantly in Mato Grosso, the largest producing state in the country. The previous AgRural projection was at 103.3 million metric tons, while most consultancies already had put estimates higher than that.
In its newest press release, AgRural also reported that there is a delay in the southern state of Paraná with harvesters passing over just three percent of the surface, while there was 24 percent progress a year ago, with longer crop cycles and more rains. Precipitation also slowed down works in the states of São Paulo, Mato Grosso do Sul and Maranhão. AgRural expects a record of yields for the states of Mato Grosso (54 bags of 60 kg per hectare), Rio Grande do Sul (51 bags of 60 kg per hectare) and Santa Catarina (56 bags per hectare). Because of later crop cycle, Rio Grande do Sul can yet generate significant soybean losses in the coming month if substantial rains fall.
Farmers from the Brazilian state of Mato Grosso have achieved to speed up the soybean harvest and advanced 14.38 percentage points from the previous week, according to the Mato Grosso Institute of Agricultural Economics (Imea). The harvest progress is also a lot faster than comparing to the pace of the previous, when about 14 percent of the crop was harvested. Right now, nearly 30 percent of the planted surface was harvested. The most advanced region is the Center-North with 44.78 percent harvested, followed by the West (40.09 percent) and Nortwest (25.60 percent).
In the meantime, the corn harvest in the state has reached 26.69 percent of the planted area, which 15.7 percentage points ahead of the same period of the previous season. The advance for the current week was just 15.7 percentage points.
By Luís Vieira
The Mexican government would seek other agricultural suppliers in the case that President Trump fulfills his promise of imposing a major border tax of 20% on Mexican products in order to pay for a border wall.
This could mean a significant lost of market for U.S. farmers, including beef, poultry, hog, corn, soybeans, rice, and others.
As soybean planting finishes in Argentina, output estimate is readjusted at 53.5 million metric tons
The Buenos Aires Cereal Exchange has readjusted its estimate number for produciton in Argentina. They now put the likely output at 53.5 million metric tons of soybeans, as planting has finished. Nearly 80% of the crop is considered under favorable conditions. The weather has improved mostly in the southwest of the Buenos Aires province, where rain was seen after drought and fires, and also on the areas affected by floods in the northwest of Buenos Aires, south of Santa Fe and Córdoba.