BRAZIL (12 May)
Dry weather conditions are negatively affecting the winter “safrinha” maize crop to be harvested from June in southern states of Parana, São Paulo and Mato Grosso do Sul. Winter maize output is forecast at 9.7 million tonnes, with a significant decline from the previous year’s bumper crop of 12.8 million tonnes. Drought is also affecting the production of 2004 first season (summer) maize crop that is being harvested in Centre-South states. Aggregate maize crop production for 2003/04 is forecast at about 42.6 million tonnes, about 10 percent less than the 2002/03 record crop. This decline is mainly due to diversion of land to soybeans and rice following more attractive prices and trade opportunities and to the less favourable weather conditions. Planting of winter wheat crop is under way in the states of Parana, São Paulo, Mato Grosso do Sul and Rio Grande do Sul. Early forecast points to a production of 4.5 million tonnes in 2004/05 marketing year. Harvesting of the paddy crop is about to be completed in Centre and South areas, while it is about to start in the North and North-East. A record paddy crop production of 12.9 million tonnes is forecast as a response to high domestic prices that motivated expansion of the area planted, increase in fertilizers use and adoption of new hybrid seeds.