As specified, the acceleration in sales was driven by several factors, in particular, the weakening of the national currency, the more competitive the price of grain on the world market, as well as the implementation of a number of government programs aimed at stabilizing domestic prices. In particular, the government of Brazil conducted a series of auctions for the purchase of local corn at the guaranteed minimum price of $16,5 for a bag.

As a result of these factors, the average price of corn in the domestic market in may was about $16,1 per bag 11% higher compared to the levels of April, which increased the profitability of local farmers.

Note that as of the end of last week harvesting corn crop of safrinha in Brazil was performed in 2.6% of the planned areas, while in the state of Mato gross the figure was 6.6%.

Photo: mediasapiens.tv