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CONAB expects bigger corn, soybean crops for Brazil
Brazil’s equivalent of the USDA is projecting another big year for corn and soybean production.
CONAB estimates new crop soybeans at 133.5 million tons on a 3% increase in planted area encouraged by solid profitability, the relative strength in the dollar making Brazilian goods less expensive on the export market, livestock feed demand expectations, strong advance sales of the not yet planted crop, and a higher percentage of biodiesel going into diesel blends.
Corn production is expected to total 112.9 million tons, primarily second crop corn, the source of most of Brazil’s exports, on a 7% increase in planted area, along with currency exchange rates and expected livestock feed demand.
CONAB is also projecting a 5.8% rise in soybean exports at 86.79 million tons, with as much of 80% of that potentially going to China, and a 13% jump in corn exports to 39 million tons.
Corn and soybean planting will get underway in parts of Brazil next month.
