Brazil’s daily agricultural news and CNN Brazil reported on January 11 that a severe drought in Central South America is expected to affect Argentina, Uruguay and Brazil. The highest temperatures in Argentina and Uruguay will be the highest in a decade. High temperatures will exacerbate agricultural losses caused by drought, increase fire risk, and may lead to water shortages in some cities. Metsul, a Brazilian meteorological company, said there might be an energy supply crisis in Buenos Aires, the capital of Argentina.
Brazil’s national commodity supply company (conab) released a report that, affected by the drought in southwest Brazil, the predicted grain output of Brazil in 2021 / 22 will be reduced by 6.68 million tons compared with the previous month’s forecast. According to the analysis, although the extreme weather will affect the output, the grain production in Brazil is generally optimistic this year. The grain output in Brazil is expected to reach 284 million tons this year, an increase of 12.5% over 2020 / 21. The positive expectation of this production comes from the increase of planting area this year. Among them, the soybean planting area increased by 3.8%. If the prediction is correct, the soybean harvest this year will reach a new high, and the output is expected to be 140 million tons.
In terms of export, Brazil’s cotton export exceeded 2 million tons for the second consecutive year in 2021, 58% higher than the average export level in the past five years, and the soybean export was 86.1 million tons. The survey pointed out that in 2022, the export volume of cotton is expected to reach 2.05 million tons, and the export of soybean is expected to reach a new record of 89 million tons.
Source: Economic and Commercial Department of the Embassy in the Republic of Brazil
Post time: Jan-25-2022