CONAB makes another cut to Brazil corn guess
Brazil’s equivalent of the USDA has lowered its corn production outlook again.
CONAB has the second crop at 59.472 million tons, down 1.4% on the month and 20.8% on the year following a delayed start to planting, drought conditions during the growing season, and frost/freeze events just ahead of harvest, which is nearly wrapped up. Brazil’s second crop is the source of most of their exports and the U.S. has picked up part of the shortfall, along with other exporters, like Ukraine.
Total corn production is expected to be 85.749 million tons, a decline of 1% from August and 16.4% from last year. First crop production was 24.744 million tons, 0.6% below the previous year, while third crop production is projected at 1.533 million tons, 7.2% above the August guess, but 16.8% below the year before.
Soybean production was record large at 135.912 million tons, 8.9% larger than the 2019/20 total.
Planting is underway for Brazil’s next first corn crop and soybean planting activity will begin to pick up steam over the next couple of weeks.
The USDA’s next set of estimates is out Friday at Noon Eastern/11 Central.