Lack of rain in Brazil reduces crop soybeans
the Consulting company INTL FCStone on Friday downgraded the forecast for soybean crop in Brazil to 2018/19 MG in comparison with the January report by 4 million tonnes to 112.2 million tonnes, which was the lowest today independent experts. Excessive heat and shortage of rain in December and January reduced the yield of the oilseed.
last year Brazil attracted a record 120 million tons of soybeans, of which exported 84.5 million tonnes, 16 million tonnes more than in the previous season.
Almost 90% of Brazilian soybeans purchased China, which, through trade disputes refused to buy soybeans in the United States. In January, exports of soybeans increased in comparison with the previous year by 40% to 2.15 million tons.
Experts FCStone believe that in 2018/19 MG soybean exports from Brazil will be reduced to 68 million tons due to an increase in domestic demand from refiners after the increase in government regulations on the content of biodiesel in fuel from 2019 from 10 to 11%.
the forecast corn production increased to 92.4 million tons due to a substantial increase in the second crop corn which is planted after the harvest of soybeans.
it is Expected that corn exports will exceed 30 million tons In January it increased compared to the corresponding month of the previous year by 40% to 4.22 million tonnes, While the total exports of corn last season was 24.1 million tonnes, 6.7 million tonnes lower than in the previous MG.