SAFRAS cuts Brazilian soybean production again due to dry weather

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     Porto Alegre, February 14, 2022 – Brazilian soybean production in 2021/22 must total 127.168 mln tons, down 7.9% from the previous season’s crop, which stood at 138.1 mln tons. The estimate was released by SAFRAS & Mercado last Friday (11).

     On January 14, when the previous report was released, the projection was 132.3 mln tons. The cut from the previous estimate is 2.37%.

     SAFRAS indicates a 4% increase in the planting area, estimated at 40.75 mln hectares. In 2020/21, planting occupied 39.19 mln hectares. In the previous report, SAFRAS indicated an area of 40.8 mln hectares.

     The survey points out that average productivity must increase from 3,542 to 3,136 kilograms per hectare.

     New negative adjustments were made to the average yield expected for the states of Rio Grande do Sul, Santa Catarina, Paraná, and Mato Grosso do Sul.

     Unfavorable weather conditions continue to hinder crops in the southern states, as well as part of Mato Grosso do Sul. The start of the harvest in Paraná and Mato Grosso do Sul is beginning to reveal the true size of the problems.

     In Rio Grande do Sul, work may start ahead of schedule in the regions most affected by the drought. Despite this, besides the occurrence of milder temperatures, some rains in the state of Rio Grande do Sul for the last two weeks seem to have helped the later crops.

     The positive highlight is the increase in average productivity expected for the states of Mato Grosso, Goiás, Minas Gerais, and São Paulo. The advance of the harvest reveals that, despite high moisture in some regions, the productive potential remains great in these states. The increases in their potential prevent production losses from being even worse for the Brazilian crop this season, partially offsetting the problems of the South Region.

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