SOUTHERN BRAZIL REAPS RECORD SOY TO OFFSET CENTER-WEST CROP FAILURE

A record soybean harvest in Brazil’s southern state of Rio Grande do Sul is expected to offset losses from drought-hit regions, keeping prices stable in the world’s largest producer and exporter of soybeans. Despite the challenging conditions in central-west Brazil due to the El Nino weather pattern, the strong yields in the south have led to a significant increase in production. However, soft demand has resulted in farmers holding back sales, with only a small portion of the harvest sold so far. Cooperatives in Rio Grande do Sul are facing storage challenges due to the surplus, despite investing in expanding storage capacity. This surplus production is a positive development for Brazil’s overall soybean output, even though it presents logistical challenges for storage and sales.
Source: Reuters / Datamar News