Argentina Corn Exports Seen Rising 8% by UN FAO as Brazil Falls

Argentina’s corn exports may rise 8 percent this year as output expands while shipments from Brazil decline, the United Nations’ Food & Agriculture Organization said.

Argentina’s corn exports in the 2013-14 marketing year that started March 1 may be 18.5 million metric tons, the Rome-based FAO said in a country report on its website dated May 16. The South American nation’s production of corn, also known as maize, may be a record 25.7 million tons in 2013, up 21 percent from the previous season, according to the report. The country is the world’s second-largest corn exporter, after the U.S.

“The increase in exports is supported by the improved 2013 production and the highly competitive Argentina maize price relative to the United States,” the FAO said. “Along with Brazil, exports from Argentina in the coming months will contribute to ease tight supplies in the world maize market due to last year’s drought-reduced harvest in the United States.”

Brazil’s corn exports in 2013-14 may drop by about 10 percent to 23 million tons as competition has increased for shipping soybeans, the FAO said in a separate country report. The marketing year started April 1 in Brazil, the third-biggest corn exporter. Shipments still will be double the five-year average, it said. Brazil’s corn production may be a record 77.81 million tons, up 9.1 percent from a year earlier.

Argentina’s wheat production my jump 22 percent to 11 million tons in 2013, as planting that starts next month is expected to increase to about 3.5 million hectares (8.65 million acres), the FAO said. The wheat harvest in Brazil may be 5.5 million tons, 25 percent higher than a year earlier, according to the report.

To contact the reporter on this story: Whitney McFerron in London at wmcferron1@bloomberg.net

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.