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January 7, 2011

Conab Reports Record Soybean Acreage in Brazil

In their January report, Conab estimates that Brazil will produce 68.5 million tons of soybeans, which is slightly larger (+0.2%) compared to last year. The total soybean acreage is estimated at 24.0 million hectares or 2.6% more than in 2009/10. This represents a new record soybean acreage for Brazil surpassing the old record of 23.3 million hectares set in 2004/05. The average soybean yield is estimated to be 2,847 kg/ha (41.2 bu/ac) compared to 2,927 kg/ha in 2009/10 (42.4 bu/ac).

The state of Mato Grosso leads the way in soybean acreage with 6.37 million hectares (26.5% of Brazil's total) followed by Parana at 19.1% of the total, Rio Grande do Sul at 16.8% of the total, and Goias at 10.8%.

The soybean yield in Mato Grosso is estimated at 3,060 kg/ha (44.3 bu/ac), which is 1.5% higher than last year. Parana's soybean yield is estimated at 3,007 kg/ha (43.6 bu/ac), which is down 4.2% compared to last year. The yield in Rio Grande do Sul is estimated at 2,100 kg/ha (30.4 bu/ac) which is down 18.3% and Goias is estimated at 2,950 kg/ha (42.7 bu/ac), which is up 2.4% compared to last year.

Conab reported that the principal area of concern for soybeans in Brazil is in the southern and southwestern regions of Rio Grande do Sul. Rainfall in this region remains scattered and insufficient for normal plant development. Approximately 22% of the soybeans in Rio Grande do Sul are located in these two regions.