Jun 15, 2021
Brazilian Farmers Sold 56.9% of their Corn, 76.3% of their Soy
Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.
The safrinha corn harvest is just getting underway in Brazil with less than 1-2% harvested. According to a report from Datagro, as of June 4th, Brazilian farmers had sold 56.9% of their anticipated safrinha corn production compared to 61% last year and 53.2% average. The record for this time of year was 67% sold in 2016.
The 2020/21 safrinha corn yields will be very disappointing this year and there are numerous reports that some farmers will not have enough corn to meet their contracts, so they will be forced to renegotiate their contracts with the grain companies.
According to Datagro, as of June 4th, Brazilian farmers have sold 76.3% of their 2020/21 soybean production compared to 87.5% last year and 73.4% average. This represented an advance of only 4.5% compared to the prior month. Normally at this time of the year, soybean sales advance about 9% per month.
For the 2021/22 soybean crop that will be planted starting in September, Brazilian farmers have forward contracted 17.4% of their anticipated production compared to 33.1% last year and 15.1% average. Datagro anticipated that the soybean acreage in Brazil will increase 2.9% in 2021/22 with a potential production of 141 million tons.