According to Luiz Carlos Pacheco, senior analyst at TF Consultoria Agroeconômica, producing wheat in Brazil is expected to be profitable in this 2022/2023 crop. The forecast comes amid widespread inflation in production costs, but within a context of high demand in the domestic and foreign markets. 

"Yes, the prices of fertilizers and other insums have gone up a lot, but for the next harvest, because these were already being acquired since last December. The producer who was provident will have great profits, because it will have costs before the war, still cheap and will sell its wheat with prices after the war, very high", argues the market analyst.  

According to him, it is "easy to realize that even without the exact numbers still undefined at this time, it will be greatly advantageous to increase the wheat area for the 2022/23 crop. The numbers are not yet closed, but we estimate that the over-the-counter price, the one intended for the payment of farmers, should be at least around R$ 120/bag from October in the states of Paraná and Rio Grande do Sul, in addition to R$ 125.00 in the states of São Paulo, Minas Gerais and Goiás, providing excellent profitability to producers."

"And this year, there will be demand for everything that is produced and at competitive prices. But, the states have to plan, seek (before) sales for export for everything that produces the most, so as not to compromise the profitability of producers in the face of a brutal increase in production", concludes the specialist tf Agroeconomic Consulting.