Highlights
Eduardo Vanin 29 November 2023:
"Brazilian corn is getting really expensive. Tenders, purchase tenders, went out to South Korea in the last two weeks for December-January shipment at destination prices equivalent to Fob Santos at +80H (Fob premium 80 cents per bushel above the March contract at CBOT)...
For the off-season we are hearing business every day in Mato Grosso on a basis well above export parity as well. It seems that the reduction in area and technology is becoming increasingly clear. It is too early to assume how much less we will have in terms of area and yield in the North of Brazil, but local consumers are already taking action."
Douglas Marangon:
"In Água Boa, MT (Mato Grosso) it is estimated that of the 65,000 hectares (2.47 acres per hectare) of off-season corn cultivated in the last harvest, only 25,000 hectares will be sown this harvest, that is, a cut of 61.5%. Sesame planting area should increase in the region. This is a typical field of first crop soybeans in the Água Boa area as of 28 Nov 2023:"
Note that maybe 20 to 30% of Brazil’s bean fields look like this photo. There are a lot of good beans growing in Brazil. However, it will not take more than 15 to 20 million mts of lost production to create a serious world shortage of beans.