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Thursday, January 07, 2016

Brazil Starts 2016 Soybean Harvest Next Week

Yields will be reduc... | SoyBeans | Agriculture: Once a renowned paradise in terms of rain for farmers in Brazil, the state of Mato Grosso has faced an atypical landscape with irregular rainfall levels in the heart of the soybean production areas combined with an excess of moisture in other top-producing southern states.
As a result, very significant crop losses could be occurring in Brazil and a strong turnaround for soybean prices. The answer for the first estimation may be yes, but on the second issue there is more certainty.
The Mato Grosso Institute of Agricultural Economics reduced its estimate for output in the state to nearly 30 million metric tons to less than 29 million metric tons of soybeans during the 2015/2016 crop season, confirming at least 1 million tons in losses. Considering the country as a whole, private consultancies forecast a crop ranging from 95 to 99 million metric tons, a strong fall given the fact that some previously foresaw a Brazilian output of over 100 million tons.