Wheat: Brazilian mills pay attention to Argentine crop cutback

The Black Sea grain export agreement was renewed between Russia and Ukraine for the next 120 days. Thus, despite the war in the region, Ukraine will continue to export wheat and other agricultural products internationally.

This scenario put pressure on the external prices of the cereal. Despite this, Brazilian agents consulted by the applied economics research center Cepea are attentive and concerned about the context in Argentina, the largest supplier of wheat to Brazil.

In a new estimate, the Rosario Grain Exchange reduced the Argentine production forecast for the 2022/23 season to 11.8 million tonnes.

Please find below the track record of the volume of wheat (hs 1001) imported into Brazil between Jan 2019 and Sep 2022. The data is from DataLiner.

Wheat imports – Brazil | Jan 2019 – Sep 2022 | WTMT

Source: DataLiner (click here to request a demo)

Productivity is expected to be the lowest in 15 years. It’s worth remembering that Argentina’s previous crop was a record-breaking 23 million tonnes. In Brazil, after weeks of decline, wheat prices on the over-the-counter market rose again.

Sources: Canal Rural

To read the full original article, please go to: https://www.canalrural.com.br/radar/trigo-moinho-brasileiro-se-atenta-a-nova-reducao-na-safra-da-argentina/

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