Everything seems to indicate that finally Brazil will produce more soya than the United States in the 2019/2020 crop. The country has been hitting the beam for at least four years, it seems that now, with the expected fall in the North American crop, will surpass the competitor, points out forecast made by consulting firm INTL FCStone. In its first estimate for the Brazilian soyabean crop 2019/2020, FCStone forecasts a production record of 121.4 million tons, a 5.5% growth compared to 2018/2019. “This volume would be the result of a record area of 36.4 million hectares, with the increase in planting in several states, representing an average growth of 1.6% compared to the 2018/2019 cycle,” says the analyst, Ana Luiza Lodi. Of note is the expansion over pastures in Mato Grosso and Mato Grosso do Sul. In Mato Grosso do Sul, there is also incorporation of some areas of sugarcane. In Rio Grande do Sul, the expectation is that rice will lose areas for soya this year, mainly in the southern half of the state, as well as some pasture area. In Bahia, it is expected the incorporation of new areas, as well as expansion on cotton.
According to estimates released by the consultancy this week, domestic consumption of soyabeans should continue to grow with meat production and the increase in the mandatory blend of biodiesel. Domestic demand is expected to reach 46.5 million tons.
Source: Canal Rural