Wheat from Santa Catarina records a drop in price in September

The average prices received by wheat producers in Santa Catarina closed the month of September with a drop of 39% compared to the same month in 2022. This information is in the October Agricultural Bulletin, a monthly publication from the Center for Socioeconomics and Agricultural Planning (Epagri/Cepa) which brings together current information on some of the main agricultural products in Santa Catarina. Wheat was also one of the crops most affected by the heavy rains in October, which is expected to compromise crop conditions.

According to the document, the large supply of cereal on the world market has pressured prices downwards. “Russia has made wheat available in international trade at lower prices, an aspect that is already causing changes in  the  scenario  of  South  America”,  reveals the Agricultural Bulletin.

Throughout the State, until the last week of September, approximately 53,5% of the area destined for wheat planting in this harvest was in the flowering phase; 39% had already reached the maturation phase; approximately 15% of the area had already been harvested and only 7,5% was still in vegetative development.

Check out more details about the production and market of products monitored by Epagri/Cepa in September. 

Rice

In September, rice producer prices continued the upward trend that began in July. The observed behavior of prices follows what was expected and other factors tend to keep the market heated, such as exports and the low stock-to-consumer ratio (due to the failure of the Rio Grande do Sul harvest and, consequently, lower Brazilian production).

The 2023-24 harvest has begun and indicates expectations of a stable area and a reduction in the quantity produced. The excess rainfall in the State affected rice producing areas, especially in the Alto Vale do Itajaí, however, the estimated loss is still occurring and some areas will need to be replanted, taking advantage of the planting window. In other regions, excessive rain hampered cultural practices, especially the application of herbicides, which could lead to problems with weeds during the harvest.

Bean

In the month of September, the average monthly price received by Santa Catarina's carioca bean producers closed at R$151,40/sc of 60kg, a reduction of 2,19% compared to the previous month. As for black beans, the average price remained stable, closing the monthly average at R$214,74/sc of 60kg. In comparison with August last year, for black beans, there was an increase of 18,71% in the annual variation. So far, for the 1st bean harvest, 32,5 thousand hectares are expected to be planted, an increase of 6% compared to the previous harvest. The expected average productivity is practically the same as that achieved previously. As a result, a 5,8% growth in production is expected, however, intense rains in the first half of October are expected to impact crop yields in some regions.

Corn

The first figures show a 4,1% reduction in corn area in Santa Catarina. Producer prices have remained stable over the last three months at a low level, however some factors come into play that could lead to price recovery by the end of the year. The impacts of the rains already show a reduction in yield, but surveys are still being carried out.

Soybean

The initial estimate for the 2023-24 harvest again shows growth, now of 1,7% in the area to be planted compared to the previous harvest. Total production is expected to be 2,9 million tons in the first harvest. Uncertainties about production in the United States, the appreciation of the dollar against the real and the absence of part of farmers from the national market, in addition to record exports in the year and demand from biodiesel industries in July to September, boost prices in the intern market.

Exports from the Santa Catarina soybean complex had the highest performance in the year to September compared to the last three years. Until the period, 1,24 million tons were exported, 23,5% higher than the same period of the previous year. The biggest consequence of excess rain in October is the delay in sowing in some regions.

Onion

The expected production for the 2023-24 harvest is expected to change due to the heavy rains that occurred in the state in recent weeks. The losses are being raised by Epagri. The 2023-24 harvest is in vegetative development and some early materials are at the beginning of maturation and may be most affected by weather conditions.

Imports from January to September this year were 110.902 tons, a volume 15,2% lower than in the same period last year.

Garlic

Santa Catarina's garlic crop is in vegetative development. The condition of the crops, considered good until the start of heavy rains, must be affected in terms of plant health. In September, the quantity imported was 3,78 thousand tons, with a disbursement of US$4,90 million, with an average price (FOB) of US$1,30/kg, an increase of 11,11% compared to the month of August .

Banana

Between August and September 2023, caturra banana prices fell in value due to the decrease in demand. For silver bananas, during this period there was a devaluation in prices due to the reduction in demand due to quality problems with the presence of chilling in the fruits. The expectation is for a recovery in prices with an increase in demand and better quality for caturra bananas in the coming months and a slight reduction in prices to increase demand for silver bananas.

On the North Coast of Santa Catarina there was little rain in September and supply increased compared to the previous month. At the beginning of October, persistent rains with a large volume of accumulated precipitation caused flooding, flooding and damage to roads, making it difficult to distribute the fruits to other regions of the country.

On the South Coast of Santa Catarina, the beginning of October saw an increase in accumulated precipitation, damaging phytosanitary treatments and activities related to harvesting and distribution. In the state wholesale market, between August and September 2023 there was an appreciation in the prices of caturra bananas and a devaluation in those of silver bananas, reversing the behavior of previous months.

In comparison with the month of September of the previous year, prices remained valued for caturra and silver bananas in relation to 2022. Between January and September 2023, bananas of Santa Catarina origin sold in the country's supply centers represented 9,3 .7,7% of the volume and generating a negotiated value of XNUMX% of the total national value in the period.