Brazilian wheat imports continued at a very strong pace in November, despite good harvest prospects. 700 thousand tons were landed in the country last month – a volume 43% greater than the same period of the previous year.
From August to the beginning of December, 2.76 million tons have already been imported, which represents an expansion of 65% compared to the same period in 2015. According to the senior analyst at Consultoria Trigo & Farinhas, Luiz Carlos Pacheco, there are four reasons for Brazil to continue buying the cereal, even with the prospect of a full harvest.
“We all know the causes: the end of availability of the previous harvest two months before the start of the current season; delay of at least two weeks in the beginning of the 2016/17 harvest; need to wait two months until the harvested crop is ready to be used; commercialization has been halted for more than a month, with the entire market waiting for government auctions to take place, which, in the end, are not absorbing the desired quantity, nor providing the expected profitability”, explains Pacheco.
Source: Agrolink
