Oct 19, 2021

2021/22 Brazil First Corn Crop 45% Planted

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

The first crop corn in Brazil was 45% planted as of late last week compared to 44% last year according to AgRural. This represents an advance of 7% for the week. Corn planting was slowed last week in the states of Rio Grande do Sul and Santa Catarina due to excess moisture.

Rio Grande do Sul - Emater reported that 65% of the corn in Rio Grande do Sul has been planted and that the germination and emergence has generally been good.

Parana - The first corn crop in Parana is rated 2% average and 98% good. The first corn crop is off to a good start and if the weather cooperates, the Department of Rural Economics (Deral) expects a statewide yield of 166 sacks per hectare (158.3 bu/ac).

The safrinha corn crop in Parana is much larger than the first corn crop and farmers in the state are hoping for a good crop after last year's disaster. The 2020/21 safrinha corn production in the state was down 10 million tons from initial expectations to 5.5 million tons. Everything that could go wrong with the 2020/21 safrinha corn crop did go wrong and the crop ended up yielding just 41 sacks per hectare (39 bu/ac).

Mato Grosso farmer selling - Mato Grosso is the biggest corn producing state and the Mato Grosso Institute of Agricultural Economics (Imea) announced last week that farmers in the state had sold 89% of their 2020/21 safrinha corn production as of the end of September.  The average selling price during September was R$ 72.31 per sack (approximately $6.08 per bushel).  For the 2021/22 safrinha corn, farmers in the state have forward contracted 32% of their anticipated production, which was up 1.9% compared to August.  The average selling price during September was R$ 58.72 per sack approximately $4.95 per bushel.

USDA and Conab estimates - In the October WASDE Report, the USDA estimated the 2021/22 Brazil corn production at 118.0 million tons. In Conab's October Crop Report, they estimated the 2021/22 Brazil corn production at 116.3 million tons. Brazil's 2021 corn exports might be in the range of 16 to 18 million tons compared to 32-33 million in 2020.