Brazilian market of corn must have an extension of the off-season

Published Mar 6, 2023

Tridge summary

The article provides an overview of the agricultural situation in Brazil for the year 2023, with a focus on the challenges faced in soybean harvest and corn planting. Despite improvements in the Midwest, soybean harvest is delayed in other regions, but it does not seem to affect the planted area significantly. The article also mentions the current stability in corn prices, despite the holding of soybeans by growers. The article also touches on health issues in the livestock industry, including an atypical BSE case and avian flu in Argentina, but does not impact the internal demand and supply of corn. Soybean yields in Brazil are above average, except in a few regions, leading to logistical issues. The article also discusses the progress of regional corn harvests and the domestic market's ability to meet demand through various periods, including the impact of excessive rains on planting and the potential of the summer crop in Minas Gerais and Goiás to support the market.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The difficulties for the soybean harvest in 2023 continue. The situation has greatly improved in the Midwest, and corn planting is progressing and may end in the first ten days of March. However, the other regions continue with a complicated situation and a late second season. It is still difficult to say that there will be a decline in the planted area due to this delay, but we can say that around 50% of the area will be seeded in March. This is not a serious problem and only puts production at a higher risk curve with the fall/winter weather. Meanwhile, internal consumers managed to hold corn prices for another month while growers hold soybeans in warehouses and sell corn. As for the facts that occurred with the fattened cattle, with one more case of atypical BSE in an animal over 10 years old in Pará, and the increase in cases of avian flu in Argentina, we must reflect that these events do not change the internal demand of corn and let alone change the internal supply profile. ...

Source: UkrAgroConsult