Corn prices rising: producers avoid sales and bet on better prices

Corn prices continue on an upward trajectory in the domestic market. The appreciation is sustained by the retreat of sellers, high export parity, and the focus of producers on their crops. Surveys from the Center for Advanced Studies in Applied Economics (Cepea) indicate that domestic corn prices continue to move upward. The rise in prices is mainly driven by the reduced supply of the cereal in the spot market. According to Cepea, many producers have reduced their presence in negotiations, turning their attention to the progress of field activities and the development of crops. In addition, the export parity remains attractive, contributing to the retreat in domestic marketing. The strategy of sellers has been to release new batches only in specific situations — when there is a need for immediate cash or to free up space in warehouses. The expectation of further appreciation also motivates this more conservative behavior. Despite the upward pressure, the advance in prices was not ...