Expansion in Brazil’s corn production could leave lasting challenges for U.S. producers

Some ag economists have expressed concern that continued expansion of Brazil’s corn production could create challenges for U.S. corn producers.

Ohio State ag economist Ian Sheldon tells Brownfield the U.S. is running into capacity constraints.

“We have to rely on our yields to be able to physically export,” he says. “Whereas Brazil, at the same time that it’s increasing the number of acres it’s putting into corn, their yields are getting pretty close to ours.”

USDA’s chief economist Seth Meyer says Brazil continues to look for ways to increase production.

“They still got land to expand,” he says. “We don’t. They’re incredible competitors with us in the international markets because they can continue to expand that second crop corn. They still have land they can double crop.”

Both economists say in order to remain competitive on the global market, the U.S. needs to diversify exports and look for new trading opportunities.

Tags: corn, Brazil, Production, yields, U.S.