Mar 18, 2021

Corn Prices in Goias Increase as Safrinha Planting is Delayed

Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.

The soybean harvest in the central Brazilian state of Goias continues to be delayed due to wet weather and as a result, the safrinha corn planting has also been delayed. Farmers in Goias have planted 50% of their intended safrinha corn compared to 70% average according to the weekly bulletin from the Institute for Stronger Agriculture and Livestock in Goias (Ifag).

The safrinha corn planting is now the most delayed since Ifag has been keeping records. Only 30% of the corn was planted during the ideal planting window which closed at the end of February. Farmers are expected to keep planting their safrinha corn until the end of March due to the strong domestic corn prices and Ifag is expecting an increase of 1.4% in the safrinha corn acreage.

As of last Friday, the average price for a sack of corn in Goias was R$ 74.75 (approximately $6.20 per bushel), with some locations as high as R$ 77 per sack (approximately $6.40 per bushel). The average price was up R$ 2.30 per sack compared to the week before (approximately $0.20 per bushel).

Farmers are not actively forward contracting much corn because they have been focused on harvesting and marketing their soybeans. Additionally, end users have not been active in the market waiting for lower prices.