Reduced forecast for soybean and corn production in Brazil

Due to a decrease in soybean planting density in the largest oilseed producing states, Refinitiv Commodities Research analysts reduced their forecast for soybean production in Brazil by 3.9 million tons in 2023/24 MY. Production is now expected to be 149.3 million tons, down 5.3 million tons from the previous forecast.

In addition, weather conditions in the central-western and south-eastern regions of Brazil have been unfavorable over the past two weeks. Abnormal heat was observed everywhere except the south, and precipitation was well below average.

Also, due to low soil moisture and unfavorable weather conditions for the development of corn crops of the second harvest, the forecast for safrigna production in 2023/24 MY was reduced by 1.4 million tons. Production is now expected to be 119.2 million tons, up 12.7 million tons from a year earlier.