Safrinha Corn Yields in Brazil Continue to Disappoint

Parana – The early safrinha corn harvest has started in the municipality of Campo Mourao in western Parana and early results are confirming farmers worst fears. In areas that usually yield 100 to 110 sacks per hectare (95 to 105 bu/ac), the yields are in the range of 50 sacks per hectare (47.7 bu/ac).

Approximately 5% of the safrinha corn has been harvested and the earlier harvested corn is expected to be the best yielding, so yield estimates may decline as the harvest progresses. The safrinha corn was planted at least a month later than normal and then a severe drought impacted the crop during most of its development. The later developing corn was severely impacted by a series of frosts at the end of June that killed the plants during grain filling.

Most farmers in the region should still be able to cover their production costs due to record high domestic corn prices, but for the hardest hit farmers, they may have difficulties meeting their forward contracts.

Goias – According to the Institute for Strengthening Agriculture and Livestock in Goias (Ifag), as of July 23, approximately 20% of the safrinha corn in Goias had been harvested and yield losses are evident. Corn yields are variable with the earliest planted corn yielding the highest.

In the municipality of Jatai in southwestern Goias, the earliest harvested corn is registering yield losses of 40% or more with the later planted corn expected to be even worse according to the President of the Rural Union of Jatai. Prolonged periods of dry weather impacted the corn during its development and then isolated areas of frost in late June resulted in additional damage.

Corn prices in Goias closed last week at R$ 79.20 per sack (approximately$7.05 per bushel). Prices in the municipality of Rio Verde in southwestern Goias closed last week at R$ 84.00 per sack (approximately $7.50 per bushel).

Tags: corn, Brazil, corn prices