Monday, May 13, 2013

Warm and sunny

Another warm and sunny week in central Brazil.

I know many analysts are talking circa 78 mmt tons
for the total Brazil corn crop. The 2nd crop keeps
getting bigger. I kinda doubt it. It will be big but
not Mega big. Too much of the 2nd crop corn got planted
in late February and early March. The rains ended at
the normal time of mid April. The last corn to be planted
will not be much. It might be just a cover crop.
There is a corn plant but no cob.

I also am hesitant to rubber stamp the recent media
reference to a 1.2 million hectare increase in Brazil´s
planted area of soybeans for 2014. I really doubt that.

The last two years we have seen the surge in soybean area
for Brazil. It is time to stand pat and plateau for a bit.
The USA will likely plant copious amounts of soybeans
before this late season is done. The USA will likely produce
3.5 billion bushels of soybeans in 2013. Let us hope China
imports 69MMT of soy in 2014 or look out below.

INCRA recently released a parcel of land to a foreigner
group. We have been in a holding pattern with regards
to this tract for one year. A good sign and good news for
those interested in Brazil land.

Brazil land is still a bit pricey. Asking prices in sacs of
soybeans are still firm.

Thank you to all the newsletter renewals of late and
VIP clients that confide in me. Very much appreciated.