Baltimore closure to have limited effects on organic ag
The indefinite closure of the Port of Baltimore after a bridge collapse Tuesday morning will likely have a limited short-term impact on organic agriculture imports due to seasonal trends and the location of key import infrastructure.
While Baltimore is the US' largest organic ag import port by volume, April is historically the month with the smallest volume of organic imports into the port. About 5,000 metric tonnes (t) of organic corn, soybean, sunflower, and canola products combined come through Baltimore in April on average for the past three years, according to Argus data. May organic agricultural imports through Baltimore average about 17,000 t, but the largest volumes are not expected until the third and fourth quarters, according to Argus organic market research.
Organic whole soybeans and soybean meal are the main commodities imported to Baltimore in April which will likely be curtailed. This includes container shipments of organic soybeans and soybean meal from African countries and India, and organic sunflower products from Argentina.
Bulk organic shipments to Baltimore are less likely to be curtailed by the port closure since most of those come through facilities at Sparrows Point, which is outside the port and still accessible, according to market participants. In 2023, 92pc of the volume of organic agriculture corn, soybean, sunflower, and canola products imported to Baltimore in April and May was via bulk shipments.
On average, 90,000 t of organic corn and 110,000 t of organic soybean products enter the US through Baltimore annually. This accounts for roughly 32pc of total organic corn and 21pc of total organic soybean product imports to the US.
Total impact of the port closure on the organic agriculture market is still uncertain, but for now shippers are diverting to other ports in light of the closure.
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Brazil to import rice due to southern floods
Brazil to import rice due to southern floods
Sao Paulo, 10 May (Argus) — Brazil's federal government signed a provisional measure that authorizes national supply company Conab to import up to 1mn metric tonnes of rice, following floods in the country's main rice producing state of Rio Grande do Sul. The measure aims to replenish public stocks, while avoiding price speculation and maintaining the grain's price levels in the domestic market, amid the current logistical difficulties for supply, according to Brazil's agriculture minister Carlos Favaro. Conab will hold public auctions and the acquired volumes will be sent to small retailers in metropolitan regions. "It is important to highlight that we will not import everything at once to not compete with our local production," Conab's president Edegar Pretto said. "We must protect our farmers, but remain on alert for prices to not become too high for consumers." Rio Grande do Sul's 2023-24 rice crop expected to account for almost 70pc of national output during the cycle. Alongside crop damage caused by the heavy rainfall, the floods are hampering the product's transportation. The rice purchases are one of many government measures being taken to address the historic floods. The country has also unlocked relief spending and launched a R50.9bn ($9.9bn) program to aid victims . Development bank Bndes will also suspend the debts of companies and farmers hurt by the extreme weather. The floods in the state have left at least 113 dead, 146 people missing and more than 165,000 people displaced, according to the civil defense. By Nathalia Giannetti Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
BNDES vai auxiliar vítimas no Rio Grande do Sul
BNDES vai auxiliar vítimas no Rio Grande do Sul
Sao Paulo, 10 May (Argus) — O Banco Nacional de Desenvolvimento Econômico e Social (BNDES) vai suspender por um ano as dívidas de empresas e produtores agrícolas afetados pelas enchentes recentes no estado do Rio Grande do Sul e vai fornecer R$5 bilhões em créditos para micro, pequenas e médias empresas e microempreendedores. A medida faz parte do Programa Emergencial de Acesso a Crédito do BNDES (FGI PEAC) e entrará em vigor já neste mês. O crédito está incluído no pacote de R$50,9 bilhões anunciados pelo governo federal brasileiro em 9 de maio, que vai auxiliar agricultores, trabalhadores e famílias beneficiárias de programas sociais no estado. A suspensão de dívidas, incluindo pagamentos principais e juros, vai beneficiar pequenos empreendedores e agricultores afetados pelas fortes chuvas e enchentes que atingem o Rio Grande do Sul desde 29 de abril. A medida vai totalizar, entre pagamentos principais e juros, até R$6,1 bilhões em 2024 e até R$1,6 bilhão no próximo ano. O BNDES também poderá contribuir com outros projetos para a reestruturação do estado. Isso inclui construção de escolas, hospitais, pontes e rodovias e desenvolvimento urbano, disse Nelson Barbosa, diretor de Planejamento e Estruturação de projetos do BNDES. Pelo menos 428 cidades foram atingidas pelas enchentes. Até 9 de maio, havia 107 mortes confirmadas e 136 pessoas desaparecidas, de acordo com o boletim da Defesa Civil. Cerca de 1,5 milhão de pessoas foram afetadas pela tragédia. Por Maria Albuquerque Envie comentários e solicite mais informações em feedback@argusmedia.com Copyright © 2024. Argus Media group . Todos os direitos reservados.
Floods delay, damage Brazil’s Rio Grande do Sul crops
Floods delay, damage Brazil’s Rio Grande do Sul crops
Sao Paulo, 10 May (Argus) — The unprecedented floods that have hit Brazil's Rio Grande do Sul starting on 29 April challenged the state's harvest progress and caused concerns related to crops conditions. The state leads Brazil's rice and summer corn production and is expected to be the second-largest soybean producer in the 2023-24 crop. Harvesting works for oilseed, corn and rice were approaching their final stretches when rainfall intensified. Rains have halted and in some cases completely paralyze d activities, while also ruining some crops. Soybeans Rio Grande do Sul's 2023-24 soybean crop is estimated at 22.2mn metric tonnes (t) by regional rural agency Emater-RS, while national supply company Conab expects 21.9mn t. Both forecasts would be a record for the state, which would become the season's second-largest oilseed producer. Rio Grande do Sul would account for approximately 15pc of Brazil's soybean production. The 2023-24 crop was 78pc harvested as of 9 May, advancing by 2 percentage points from a week prior, according to Emater-RS. Activities were suspended in almost the entire state since the rainfall period began, with few exceptions. Farmers managed to advance works in the northwest and in the southern region known as Campanha — bordering Argentina and Uruguay — on 29-30 April, but reported problems because of the high moisture levels. Works in Campanha have resumed since 3 May. Rio Grande do Sul's soybean harvest had maintained a weekly progress of at least 10 percentage points throughout April, while yields remained within a range of peaks of 5,400 kg/hectare (ha) in areas considered to produce excellent results and an average of approximately 3,000 kg/ha. But the remaining 24pc of areas that had yet to be harvested when the flood began is set to register heavy losses, Emater-RS estimates. Storage units were also damaged, which may lead to cuts in a portion of production already counted as safe. Farmers say that grain quality in the latest harvested areas is unsuitable and they have given up harvesting other remaining crops, as that has become economically unfeasible. The high humidity levels of these soybeans reduce their profitability considerably, hardly covering their production costs. For the remaining 22pc still on fields, Emater-RS projects losses of 20-100pc. The agency has yet to officially revise downwards its 3,329 kg/ha yield estimate, but expects its outlook to decrease. Rice Rio Grande do Sul is Brazil's largest rice producer and should account for over 70pc of the national output this season, according to Conab data. The progress of rice harvesting was severely compromised by the heavy rainfall, with Conab estimating that works remain halted at 83pc since 28 April. The location of remaining areas is another factor weighing on the delay. Rice is sowed in floodplains, which are difficult to access and now coincide with major flooding points in the state. Crops in the Bage region — where activities were the most advanced — report losses of up to 30pc in some areas, but further damages are possible because of another flood forecast caused by the Uruguay River's elevated levels. Farmers also report problems related to the process of drying the grains — resulting in further quality and yield losses — caused by power outages and road blockages that hamper transportation to storage facilities. The 2023-24 rice crop in Rio Grande do Sul was initially set to yield over 8,300 kg/ha and produce almost 7.5mn t, according to Emater-RS and Conab. But the local agency now expects to revise these figures down. Summer corn Emater-RS expects the state to produce 5.2mn t in its 2023-24 first corn crop, 100,000t below Conab's estimate. Rio Grande do Sul is Brazil's top summer corn producer, with 20pc of the national production. The 2023-24 first corn crop harvest advanced by 3 percentage point to 86pc of Rio Grande do Sul's planted area in the week ended 9 May. Producers have so far prioritized advancing works and observing the damage for soybeans, which is the state's main crop. Damages in most summer corn areas have yet to be accounted for, but farmers are reporting losses of up to 100pc in crops in the northern regions of Lajeado and Caxias do Sul. The remaining areas in Santa Maria city — where harvest is 72pc complete — are also expected to register losses close to 100pc. Looking ahead Brazil's national meteorological institute Inmet expects more heavy rainfalls in Rio Grande do Sul this weekend, with volumes may surpassing 100mm (4 inches) on 10-12 May. The state's center-north and west will be the most affected areas, alongside the northern coastal areas and the south portion of neighboring Santa Catarina state. The rains and floods in the state have left at least 113 dead, 146 people missing and more than 165,000 people displaced, according to the civil defense. By Nathalia Giannetti Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Brazil launches R51bn program to help flood victims
Brazil launches R51bn program to help flood victims
Sao Paulo, 10 May (Argus) — Brazil launched a R50.9bn ($9.9bn), multi-step program to help victims of the historic floods that have hit southern Rio Grande do Sul state since late April. The measures seek to aid workers, social program beneficiaries, companies, rural producers and individual cities. Some of them include the early payment of salaries and social welfare, priority in tax refunds and two additional installments of unemployment insurance, among other actions. The government will also set aside R200mn to help public banks finance proposals to reconstruct Rio Grande do Sul's infrastructure. The program will help over 3.5mn people, the government said. Earlier this week the federal government also launched a decree to ease relief spending to Rio Grande do Sul . The rains and floods in the state have left at least 113 dead, 146 people missing and more than 165,000 people displaced, according to the civil defense. By Lucas Parolin Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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