Brazil’s Mato Grosso soybean output up 3% at 42.8m mt: IMEA
Soybean output projections in Brazil’s main producing state of Mato Grosso were upgraded on the back of improved yield estimates, the state’s agriculture institute IMEA said late Monday.
A survey carried out by the institute in January pointed to higher yield prospects compared to the previous figures based on December data.
With that, IMEA has raised its 2022/23 soybean output estimates by 3.3% month-on-month to 42.8 million mt, pegging it 4.8% above the record 2021/22 production level.
The upward revision to the state’s output estimates also led IMEA to review its demand figures for the 2022/23 crop.
IMEA increased export projections by 0.8% compared to the previous report to 25.8 million mt, while crush volumes were upgraded 13.4% to 12.8 million mt.
Despite increased exports and local processing, IMEA expects Mato Grosso’s passing stocks at 1.1 million mt, up 2% compared to the previous marketing year.
Corn
IMEA has not made any changes to its corn supply and demand estimates based on the data it collected in January.
The state’s 2022/23 corn output remained pegged at what will be a new record of 46.4 million mt if confirmed, 5.9% higher on the year.
The institute expects corn acreage to increase 3.8% on the year in 2022/23 due to high global demand and prices.
“Moreover, critical crop conditions in the south of Brazil and Argentina are expected to lead buyers to seek for new sources, like Mato Grosso, to source corn from,” IMEA said.
IMEA also highlighted the importance of China as a new market for Mato Grosso’s corn as the Asian country has purchased a considerable share of the state’s exports since it entered the Brazilian market in the end of November 2022.
No changes were made to Mato Grosso’s corn demand estimates, with exports pegged at 28.6 million mt and local consumption, mainly linked to ethanol processing plants, at 12.8 millino mt.
Passing stocks are expected to sit at 386,870 mt, up from the 241,210 mt estimated for the 2021/22 crop.