Brazil cotton area inches higher with Mato Grosso farmers planting more
Brazil cotton area inches higher with Mato Grosso farmers planting more

Brazil cotton area inches higher with Mato Grosso farmers planting more

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SAO PAULO, March 13 (Reuters) - Brazilian cotton farmers have finished sowing their crop on 1.619 million hectares (4 million acres), marking a 0.05% increase from last season's record area as estimated by the government, agribusiness consultancy INTL FCStone said in a report on Friday.

In the state of Mato Grosso, Brazil's largest producer, the planted area grew by 1.6% to 1.11 million hectares as farmers anticipated strong demand for the fiber despite a recent drop in international prices.

Because of planting delays in the state, at least 15% of Mato Grosso's 2019/2020 cotton was sowed outside of the ideal window, the consultancy said citing weather-related issues affecting soy and corn that were planted before cotton.

INTL FCStone said rains, however, are expected to help cotton plants during the development phase.

Brazil, the world's largest exporter of staple commodities like soybeans, meat and sugar, is forecast to sell 2 million tonnes of cotton lint on export markets this harvest, according to government estimates, making it one of the world's largest suppliers.

The country will collect some 2.85 million tonnes of cotton lint in this season, a 2.7% rise from the previous period, Brazil's food supply and statistics agency Conab said on Tuesday.

Yields are poised to drop by 0.5% to 1,708 kilos per hectare from the previous cycle, Conab said this week as it updated estimates for Brazil's main crops.

(Reporting by Ana Mano Editing by Marguerita Choy)


Source: nasdaq.com

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