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Possible planting delays in Brazil, but farmers are motivated by high prices
A grain marketing consultant who keeps close tabs on South American crop production says hot and dry conditions in central Brazil could delay the start of soybean planting.
Dr. Michael Cordonnier with Illinois-based Soybean & Corn Advisor says planting usually starts in mid-September.
“In the state of Parana, they’re allowed to start planting on September 11th, and in Mato Grosso on September 16th,” Cordonnier says. “They’ve probably got pretty good moisture in Parana, so I think they’ll start off right out of the gate. But in Mato Grosso, it’s been very dry and hot. So they’re going to have to wait for some moisture to plant.”
But Cordonnier says Brazilian farmers are very motivated to get going. He says devaluation of the local currency has led to record-high corn and soybean prices.
“They’re anxious to go. Prices are unbelievable. Right now, you can sell your corn in Mato Grosso for over five dollars a bushel—like 5.20 (in U.S. dollars). For soybeans, you can sell it for 11 dollars or so, depending on where you’re at.”
Cordonnier says the developing La Nina is causing some concern. He says it tends to bring drier-than-normal conditions to southern Brazil and Argentina in September and October—and he says Argentina is already very dry.
