Corn prices continue to fall in the Brazilian market. According to researchers from the Center for Advanced Studies in Applied Economics (Cepea) at Esalq/USP, the pressure comes from the retracted stance of many buyers, the advance of the summer harvest and the good development of the second harvest in most regions.
In some markets, the current prices of the cereal are already the lowest since October 2023. On Friday (26/4), the Cepea indicator, based in the region of Campinas (SP), showed an average price of R$58, 09 for a 60-kilo bag of corn, an accumulated drop of 5.97% since the beginning of April.
Buyers report having stocks and make new spot purchases only when necessary.
On the selling side, while most are more flexible in negotiations, due to the need to raise cash, others are staying away from the market, waiting for recoveries in the coming months, based on the recent appreciation of the dollar – a context that could increase export parity – and the possibility of a second, not-so-voluminous harvest.
In fact, the National Supply Company (Conab) indicates an 8% smaller area and production of 85.61 million tons, 16% lower than in the 2023/24 season.
