Brazil will harvest a smaller-than-expected 70 million tonnes of corn this marketing year, said USDA, lowering its forecast by 7.5 million tonnes in one month because of adverse weather. Brazil is the third-largest corn grower in the world, trailing the United States and China, and is a U.S. competitor for export sales.
“The production decline comes from a decrease in the second-planted corn crop which can make up nearly 65 percent of the total crop,” said the monthly World Agricultural Production report. “Dry weather from an early end to precipitation in the Center West Region and freezing temperatures in mid-June over Paraná were responsible for a decrease in production of the second crop across the country.”
In Paraná, which produces nearly one-quarter of Brazil’s second crop, more than 40 percent of the corn was still maturing when freezing conditions hit. “The extent of the freeze in Paraná will become more evident as harvest begins,” said the report. The USDA says Brazil will rebound to 80 million tonnes of corn in 2016/17, but that is still 2 million tonnes less than expected a month ago, because lower yields are forecast.