Brazil raises soybean and corn crop estimates for 2017-18

In Brazil, Platts is reporting that Brazilian official crop agency Conab raised its crop estimates for soybeans and corn in 2017-18, as improved weather boosts yields and planted areas are revised higher. Conab said in a monthly report that the current soybean crop, which was already planted and is under development, will reach 110.44 million mt, up from 109.18 million mt in December but still below the record of 114.08 million mt in 2016-17. Brazil is the world’s largest soybean exporter and its production is second only to the US.

The area planted with soybean in Brazil was increased to 34.99 million ha, up from 34.96 million ha in December and from 33.91 million ha in 2016-17, according to Conab. Yields are now seen at 3,156 kg/ha, up from 3,123 kg/ha in December, but below the record of 3,364 kg/ha in 2016-17, when nearly perfect weather helped crops. Sowing in 2017-18, which started officially in mid-September, was initially hampered by insufficient rains in many areas, like Mato Grosso, the main grains state in Brazil. It harvests about as much soybeans as Iowa and Illinois combined. Precipitation improved in November and December, cutting down concerns about any relevant loss.