Brazil’s grain harvest nears 340 million tonnes

Brazil’s total grain harvest for marketing year 2024-25 is estimated to reach 339.6 million tonnes, a 14% increase over the previous year, the National Supply Company (Conab) said, led by a bump in the corn estimate from June.

In its 10th Harvest Survey released July 10, Conab raised its outlook 3.5 million tonnes from June’s report. Conab said the harvest, if realized, would be a record, reflecting a combination of factors such as favorable weather, expanded planted area, increased technological investment and stimulus from public policies.

Corn, combining the three harvests, is expected to produce 132 million tonnes, representing a 14% increase. The first harvest is almost complete, while the second harvest is still maturing. Conab’s current corn estimate was raised from 128.3 million tonnes in June.

Conab said strong growth in demand, mainly for ethanol, should absorb the increase in corn supplies as domestic consumption reaches 90 million tonnes. Exports may decline slightly amid increased international competition.

Soybean production is expected to reach 169.5 million tonnes, a nearly 15% increase compared to the previous harvest but down slightly from 169.6 million estimated in June. Average productivity is also a record, estimated at 3,560 kg/ha. Exports are seen unchanged year over year at 106.22 million tonnes.

The recent increase in the mandatory biodiesel blend in diesel, approved by the National Council for Energy Policy (CNPE), is boosting the soybean market by increasing demand for crushing Conab noted. Additional processing of about 935,000 tonnes of soybeans is expected, increasing oil production to 11.37 million tonnes and meal production to 43.78 million tonnes

Rice, with the harvest completed, is recovering and is expected to reach 12.3 million tonnes, an increase of 16.5%. The increase in planted area and favorable weather conditions, especially in Rio Grande do Sul, have aided the crop, Conab noted.

The cultivated area for Brazil totals 81.8 million hectares, an increase of 2.3% year over year. The increase is driven mainly by soybeans, which grew 3.2% to 1.5 million hectares, followed by corn, up 2.4% to 507,800 hectares, and rice, which showed an increase of 140,800 hectares.