Market News & Headlines >> Brazil Raises Soy Crop Estimate
CONAB, the supply arm of Brazil’s agriculture ministry on Wednesday morning raised its forecast for the country’s 2014-15 soybean crop by nearly 6%
The agency pegged production at a record high 95.8 million metric tons, up from a previous forecast of 89.3-91.7 million tons and last year’s crop of 86.7 million. The new forecast is 1.8 million tons above USDA’s Brazilian crop estimate.
CONAB raised both projected planted soybean area and its projected average yield as a result of recent favorable rains in key growing areas.
Despite higher soybean area, projected corn production was also raised slightly to 78.7 million metric tons from the November estimate of 78.1 million. This compares with USDA’s estimate of 75 million metric tons.
However, CONAB has not yet estimated Brazil’s second-crop corn area or production for this year and is using last year’s crop size. The second corn crop now accounts for the larger portion of Brazilian production.