Aug. 14 (Bloomberg) -- Farmers in Brazil and Argentina are forecast to plant more soybeans for harvesting this season in response to higher prices, at the expense of wheat and corn sowing, Oil World wrote.
Oilseed planting in Brazil will climb to a record 28.6 million hectares (70.7 million acres) from 27 million hectares in 2011-12, the Hamburg-based researcher wrote in an e-mailed report today.
Soybean prices have risen 19 percent in Chicago in the past 12 months, while corn prices advanced 11 percent. Brazil will overtake the U.S. as the world’s largest soybean exporter in 2012-13, the U.S. Department of Agriculture forecasts.
“Brazilian farmers have already been active sellers of new-crop soybean supplies to take advantage of the current favorable prices,” Oil World wrote. “In the domestic market soybean prices have been much more attractive for farmers than corn owing to the ample domestic corn supplies.”
Brazil’s soybean area for harvesting in 2013 is forecast to climb to 26.8 million hectares from 25 million hectares, while the corn area is seen slipping to 14.7 million hectares from 15.1 million hectares.
An estimated 37 percent to 40 percent of next year’s Brazilian soybean crop has been sold, compared with 12 percent normally sold at this time of year, Oil World said.
Farmers in Argentina are predicted to sow 23.5 million hectares of oilseeds, from 21.7 million hectares in 2011-12. The soybean area is expected to climb to 20.1 million hectares from 18.7 million hectares and sunflowers will cover 2.1 million hectares from 1.85 million hectares, Oil World wrote.
Argentina’s corn area is predicted to be 4.4 million hectares from 5.03 million in the previous season and wheat is forecast to be planted on 3.6 million hectares from 4.63 million hectares.
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