South American crop season: Is 24/25 the new 22/23?

By Geraldo José G. Isoldi, Agricultural Markets Analyst for King Korn

The WASDE report, published on Feb. 11, clearly reflected the concerns of external players regarding the climatic situation in South America. In Brazil, despite soybean production being maintained at 169 million metric tons, the corn estimate was reduced by 1 million metric tons, from 127 to 126 million, due to the slow progress of safrinha crop planting, according to the USDA itself.

In Argentina, which has been more affected by drought, the soybean projection dropped from 52 to 49 million metric tons (mmt), while the corn estimate was reduced by 1 mmt, from 51 to 50 million. Paraguay also saw its soybean forecast reduced by 500,000 mt, to 10.7 mmt. As a result, total South American soybean production was revised to 229.2 mmt, down from 232.2 million in the previous month. Meanwhile, total corn production was adjusted from 178 to 176 mmt.… Continue reading