Brazil 2023/24 soybean crop view cut on sharp drop in average yields

SAO PAULO: Brazilian soybean production will total 147.57 million metric tons in the 2023/2024 season, smaller than a previously forecast 147.96 million tons, according to a new estimate by agribusiness consultancy Datagro on Friday.

The consultancy cited a drop in national yields for the reduction of its soybean projection and said production losses in flood-hit Rio Grande do Sul state, the second biggest producer after Mato Grosso, were partly offset by an upward revision of the overall size of the planted area.

Datagro said Brazilian soy farmers increased planted area for the 17th consecutive year. The consultancy estimated plantings on 45.935 million hectares (2.471 million acres), up from 45.520 million hectares previously, which represents an increase of 2.8% compared to the 2022/23 season.

Despite raising the projected soy area, the consultancy reduced expected average soy yields to 3,213 kilograms per hectare from 3,251 kilograms per hectare.

This is 10.8% lower than the 3,602 kilogram record achieved in the 2022/23 season, Datagro said. Datagro also cut its second corn production estimate to 90.515 million tons, from 91.862 million tons, citing weather concerns. This represents a 16.7% fall from the 108.595 million tons reaped in 2023.