Brazilian corn prices moved down in March, pressed by the harvesting progress. Between February 29th and March 31st, the ESALQ/BM&F Index (Campinas region - Sao Paulo state) dropped 8.3 percent in Real, closing at 26.07 reals or 14.87 dollars per bag of 60 kilos on Monday. Even though, March average was 35 percent higher compared to the same period 2007.
According to the Food and Agricultural Policy Research Institute, the cultivated corn area in the US should reduce 2.8 percent in the 2008/09 crop, totaling 34 million hectares. The production, in turn, should decrease 1.3 percent, at 328 million tons. The productivity, in turn, should keep rising. In global terms, the area and the production should remain increasing and the stocks should rise, as a result. (Cepea - Brazil)