Conab Cut Brazil Soy/Corn Crop Estimates
Conab have cut their 2008/09 production estimates for Brazilian corn and soybeans, citing a prolonged dry spell delaying plantings and reducing yields.
Soybean production is now estimated at 57.7mmt, down from 58.8mmt in December, and 60mmt a year ago.
Corn output is now seen at 52.2mmt, down from 54.4mmt estimated last month, and 11% lower on 2007/08's crop.
Further reductions are possible in February's estimates Conab warn, once further research into yield potential is conducted this month.
High fertiliser prices are impacting on usage, they note, which could also mean that final output could be lower still.
The 2008/09 wheat crop is estimated at 6mmt, up 47.8% on a year ago, but still around 5mmt below domestic consumption.
Brazil normally obtains most of it's wheat import needs from neighbouring Argentina, but a severe drought there has slashed production almost in half this year, meaning that Brazil may have to look to the US and beyond for it's 2009 deficit.
Soybean production is now estimated at 57.7mmt, down from 58.8mmt in December, and 60mmt a year ago.
Corn output is now seen at 52.2mmt, down from 54.4mmt estimated last month, and 11% lower on 2007/08's crop.
Further reductions are possible in February's estimates Conab warn, once further research into yield potential is conducted this month.
High fertiliser prices are impacting on usage, they note, which could also mean that final output could be lower still.
The 2008/09 wheat crop is estimated at 6mmt, up 47.8% on a year ago, but still around 5mmt below domestic consumption.
Brazil normally obtains most of it's wheat import needs from neighbouring Argentina, but a severe drought there has slashed production almost in half this year, meaning that Brazil may have to look to the US and beyond for it's 2009 deficit.