Brazil’s corn supplies have reached a 25-year low per Conab, contrasting with USDA’s later projection. USDA maintains a corn crop estimate of 126 million tons for 2024-25, while Conab slightly adjusts it to 122.76 million tons. The differences highlight broader trends in global corn supplies which remain tight, provoking market concerns about potential stock shortages.
According to Brazil’s statistics agency, the country’s corn supplies have recently plummeted to their lowest levels in 25 years. In contrast, the U.S. Department of Agriculture (USDA) does not foresee a similar situation until early next year. This disparity between USDA and Brazil’s Conab agency is not unprecedented, as discrepancies arose last year regarding estimates for corn and soybean harvests. The differences in production and demand between the two agencies suggest that there may not be a definitive answer to the situation.
In summary, Brazil faces significant contrasts in corn stock estimates from USDA and Conab, which stems from differing marketing year schedules and production expectations. While Conab reports critically low current supplies, USDA’s projections indicate a tighter scenario in the near future. This divergence is relevant as global corn supplies are predicted to drop, intensifying the focus on Brazil’s crop performance. Such analysis emphasizes the importance of understanding the underlying factors contributing to these varying forecasts.
Original Source: www.livemint.com
