On March 15, the price of corn reached the historic growth of R$ 93.85 in Campinas. In the year-to-date period, Cepea indicator has already registered a growth of 19.33%. In 12 months, prices have risen 61.91%. The analyst of Tf Agroecômica, Luiz Pacheco, explains that the Chinese demand is the main reason for high prices of corn. “Prices have risen as all grain commodities and that is because of the great Chinese demand for meat” he says. Although prices have reached unprecedented levels, the analyst believes that there is room to increase even more. “The price of corn went up earlier than we expected, so we still have 3 months for a further growth”, he says. And it is not just prices that tend to remain high. According to Pacheco, corn production is also expected to increase. “Certainly, these prices will increase production in the next 4 years. Brazil has enough money, technology, structure and ports to increase production”, he explains.
Source: Canal Rural (*Translated by Ia Niani)