Brazil has harvested 16% of its soybeans and is starting with second-grade corn

Brazil harvested 16% of the harvest soy 2023/24 until last Thursday, according to the agribusiness consultancy AgRural, which represents an increase of 5 percentage points compared to the previous week.

The combination of hot weather and little rain, especially in the south of the country, has set off alarm bells for producers of Rio Grande do Sul, St. Catarina and parts of Parana and Mato Grosso do Sulsaid AgRural. If these conditions persist into February, they could lead to productivity losses, he added.

As the soy is withdrawn from the fields, Brazilian farmers have also been planting their second crop of corn 2023/24, which represents around 75% of the annual national production and is grown in the same fields as the soy.

As of last Thursday, 27% of the planned second-crop corn area had been planted in south-central Brazil, compared to 11% the previous week. This marks the fastest pace for second-crop corn planting since records began in 2013, AgRural said.

Because the harvest of soy of Brazil was delayed in some areas, rapid planting of second-grade corn is crucial as farmers try to avoid planting outside the ideal weather window, which closes at the end of February.

Brazil is the largest producer and exporter of soy in the world, as well as one of the main exporters of corn.

During 2023, Chinese soybean imports increased by 11.4% compared to 2022, to 99.41 million tons, according to data from the General Customs Administration, in particular since Brazilto take advantage of the cheaper grains from an abundant harvest in the South American producer.

Last November, meanwhile, Brazil surpassed USA and became China’s largest supplier of corn, a year after Chinese authorities approved the export of that cereal from the South American giant.

Brazilian agriculture supplied 3.22 million metric tons of corn, of the record total of 3.59 million tons that reached China in November, according to data from the General Customs Administration. Analysts predict that Brazil will continue to dominate this supply to the Chinese market.