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Brazilian soybean planting enters home stretch: AgRural

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Platts Biofuelscan

Brazilian soybean planting enters home stretch: AgRural

하이라이트

Planting in Midwest complete

Dry weather concerns in most regions

New Delhi — Brazilian soybean planting for the 2020-21 crop year (September-August) has been progressing at a swift pace since mid-October following adequate rainfall across mid-western regions and has entered the home stretch in most regions, agricultural consultancy AgRural said Nov. 30.

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Brazilian soybean farmers have planted 87% of the total estimated area up to Nov. 26, against 81% a week earlier and 87% last year, according to AgRural.

Soybean planting was all but finished in the Midwest region and has entered final stretches in the Southeast, Parana and Rondonia, AgRural said.

Soy sowing has accelerated in Matopiba, which has seen a stronger pace than the historical average due to the good soil moisture in the region, AgRural said.

In Rio Grande do Sul and Santa Catarina, the pace of soy planting was still lagging due to irregular rainfall, it said, adding rain returned to Rio Grande do Sul in the week ending Nov. 28, which should help hasten planting.

A healthy soybean harvest pace in the South American nation was expected to put short-term pressure on US prices, which have been on an upswing on export optimism, tightening supply of soy and South American weather concerns, analysts said.

CBOT soybean January futures prices were trading at $11.8438/bushel on Nov. 30 at 6:53 am CDT, a four-year high.

Although soybean planting seemed to have caught up with both last year and the five-year average pace of soy planting, prevailing dry weather and high temperatures in most regions of Brazil has stoked lower productivity concerns.

The states of Mato Grosso and Parana –- top two soybeans producers -- were a concern due to lack of rains in recent days, which could impact the development of planted soy crop, AgRural said.

Soybean planting requires abundant rainfall and high soil moisture content during planting and crop development stages, meaning dry weather slows the process.

With extensive dry weather in September and early October, Brazilian soy planting had got under way at the slowest pace in a decade, leading to concerns of a delay to the harvest.

Brazil's soybean harvest generally begins between late January and early February, but a delayed planting could push the harvest date a little further out.

Brazil is forecast to produce close to 133 million mt of soybeans in 2020-21, a record high for the world's largest soybean producer and exporter, according to consensus analyst estimates.

AgRural estimated Brazilian soybean acreage for 2020-21 at 38.3 million hectares, up 3.6% year on year and output at 132.2 million mt, an all-time high.

Brazilian soybean acreage and production forecasts have remained unchanged month on month despite the delayed planting and crop development concerns, the consultancy said.