The price of corn continues to rise and the support of the price comes from heated exports, the shrinking of some sellers and the fact that some buyers have signaled interest in recoming inventories, according to researchers at Cepea (Center for Advanced Studies in Applied Economics), Esalq-USP.

According to Cepea, the external demand for Brazilian cereal remains heated, even in the face of the improvement in the pace of harvest in the United States.

"These buyers are aware of the reduction in supply in the European Union and China, which have been hit by drought and have problems with logistics, and shipments through the Black Sea, due to the increased conflicts between Russia and Ukraine," they said in a statement.

In Argentina, the lack of rainfall in recent weeks can also reduce the productive potential of crops.

Data from Secex indicate that, in only nine working days of October, Brazil shipped 3.25 million tons of corn, 81% more than in all october 2021. If the current daily pace continues until the end of this month, exports could exceed 7 million tons, which would be the largest volume in 2022.

Source: RPA news