top of page
If You Haven't, Try Our Daily Grain Market Reports FREE for 30 Days!

Tidbits, Brazil Crops, Rain Days Update 12/3/23


Eduardo Vannin, is a cash grain export trader in Brazil. His special report Saturday morning:

Brazil Soybean Market: The EC (weather) model shows good amounts of rain and a good coverage of rain going into the next week, but there is a lack of uniformity in the information.

Two factors harmed soybean prices:

1) the EC model has been maintaining forecasts of good volumes of rain for next week, volumes that vary from 40 to 80 mm in the 7-day run for MT (Mato Grosso), with good confidence – it is worth pointing out that at least 60% of MT´s crops are in the pod filling stage. This round of rain is critical to avoid downgrades in Mato Grosso´s crops.

The EC and GFS (American weather model) agree about good rains in Argentina and less rain in Southern Brazil, which would be beneficial for that area (45-46 Mil tons of soybeans).

2) Sea freight is killing. Freight rates rose more than $10 per ton in the US Gulf-China and $5 per ton in the Santos-China route. The difference between Santos and the Gulf to China jumped up to $20 per ton. This spread is normally around $6 to $9 per ton. This means just the freight, USG (US Gulf) soybeans are more expensive than Brazilian beans at 55 cents per bushel CFR China (Cost of product & FReight delivered), in addition to the difference in the FOB (Free on Board) premium.

Want to read more?

Subscribe to to keep reading this exclusive post.


Couldn’t Load Comments
It looks like there was a technical problem. Try reconnecting or refreshing the page.
bottom of page