Brazil may overtake US as top corn exporter in 2023

Brazil may overtake US as top corn exporter in 2023

BRAZIL is poised to become the world’s leading corn exporter ahead of the United States as its production of cereal grain is expected to hit a record high.

According to the National Supply Company (CONAB), this year’s expected production is 124.9 million tons, up 10.4% compared to last year. The second crop, or “safrinha,” has turned into Brazil’s main corn crop and taken an increasing share of world corn production. The increase in the price of cereal grain has encouraged producers to invest more in “safrinha,” using fertilizers, genetically improved seeds, and faster and more accurate planting machinery.

The opening of corn ethanol plants in 2017 has also contributed to the increase in corn’s popularity in Brazil.

Brazil’s geopolitical events and climate have put its corn in high demand, particularly as traditional corn powerhouses such as the United States, Argentina, and Ukraine have experienced problem harvests. Additionally, demand has risen with the opening of the Chinese market following the signing of an agreement between Brasilia and Beijing in early 2022.

Analysts also expect that Brazil could sell 6 to 10 metric tonnes of corn to China this year alone.

Meanwhile, USDA, in its monthly world agricultural supply and demand estimates report, raised its forecast for Brazil from the 47-million-ton prediction it made in January, on the other hand, its forecast for us corn exports remains unchanged.

However, experts say Brazil must succeed in raising its investment in agricultural equipment to speed up sowing and harvesting and continue to improve its logistical infrastructure to dispose of production.

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