Saturday , April 17 2021

Climate Changes & # 39; Play & # 39; in favor of China in a trade war with the EU



China is the world's largest soybean producer and before it was the United States major buyer. Source: Bloomberg

Thanks to the El Niño phenomenon, it is possible that Brazil next January will be able to supply more than the usual types of cheese, by helping to feed the Chinese appetite for the product, while Asian consumers reject American crops.

The Japan Meteorological Agency announced on Friday that the phenomenon "El Niño" started and predicted a 70 percent chance that the event will continue until spring.

The conditions were favorable when sowing early ripening season in Mato Grosso, Brazil's leading soybean producing country.

Prospects are also valuable for the second half of December when early ripening starts, said Celso Oliveira, Somar meteorologist in São Paulo.

El Niño & # 39; will bring lighter and shorter rains during harvest from December to February.

"We could see some rains, but with good sunny days for soy harvest and plant another crop," Oliveira said.

According to the Brazilian Ministry of Development, Industry and External Trade figures, in the first nine months of this year, with increasing trade tensions between the United States and China, Brazil has sent 15 percent more soy into China than in any other country. 2017

Planting in Mato Grosso is almost complete, farmers may begin collecting bees from a new crop before Christmas, and not just at the end of the year, as they otherwise have, explains Daniele Siqueira, an AgRural consulting firm based in Curitiba.

This means that by the end of January will get a greater amount of oilseeds than normal.

"Given that the planting rate is at a record level, we will probably see a January volume above the average in January if time is favorable for field work," he explained.

Farmers able to deliver soy in January tend to be cheaper than in the later months.

In October, producers sold the soy for delivery in January at prices up to 2.8 percent more than for delivery in February, Siqueira said.


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