Weather and Grains Planting Conditions in Brazil


Uploaded by lapressetv on 12.11.2012

Transcript:
Weather and grains' plantation conditions in Brazil
Brazilian grains production can be fundamental
to these commodities' prices in the coming months
due to the lack of grain production in other countries
by weather problems
Let's talk about it to Emmanoel Zullo Godinho
COOATOL's agriculture controler
he talks from Toledo, Paraná. How are you?
I'm all right. And you?
I'm good. Emmanoel, could you give us a 'map' of the Brazilian planting phase?
Well, Lu, starting with the South, we can say that
the SEAB has released data fews days ago
showing that the West, North and Midwest areas
have 90%, 95% of planted area
for both soybeans and corn
in Paraná's Southeast
the planted area is about 45%, 50%
in the three major areas: Midwest, North and West
with major grains' concentration, almost the whole areas are planted
up to Mato Grosso
a strong point in our season
We can talk a little about Sinop, a very strong market
there the whole is planted
'cause they have the second crop Cotton which they start to plant in December
going a little upper, we can talk about the state of Bahia
In Bahia, producers will reduce Cotton areas to increase the Soybean areas
Everything related to the Chicago Board of Trade's prices
Zullo, other countries have had weather problems that damaged grains harvest
What can we expect here in Brazil?
We start to see some Brazilian regions with weather problems
but we cannot antecipate nothing about losses or not
we know that some regions have problems
In Paraná we see a 200 mm rain during the 15 days
in general
Is this good? Yes, it is.
I didn't mention Sinop 'cause that
there, few rain in the last days
and lots of caterpillar
there's a great concern
if it doesnt' rain, the caterpillars will increase
they will have to increase the insecticide application
The cost will rise
profitability can be reduced
it's still early to say that there will be losses
but we already see problems that can result in losses
and it's harmful to the world's food suply
There are estimated losses also in Argentina.
Yes. Last Thursday, Argentina's grains Exchange has released a report
about the sunflower production
showing that Argentina's focus is the sunflower plantation and not the soybean anymore
even 'cause the season and weather issues
they really are concerned about the weather issues
In this scenario, what can we expect for the soybean and corn prices during harvest here in Brazil?
We can say that
For Soybean, we will have to see Chicago's prices
still exports reference
but we are exporting a lot of corn
soon it will have Chicago's price
it's not yet
now it has the domectic price
but there's a strong trend of high
we cannot say that soybean can reach US$ 17,00 a bushel
and corn on BM&FBOVESPA can reach R$ 40,00
graphically, it has an uptrend
showing that this uptrend will continue
the graph discards all fundamentals
starting to show a strong uptrend
I'm very optimistic on prices
I'm not concerned about a price reduction during harvest
even with a good production here in Brazil, the world demand is high
Thank you for joining us on La Presse website
Thank you. I'm always available
Great. See you next time.
Till next time
From BM&FBOVESPA, São Paulo,Brazil, I'm Luciene Miranda