Brazil and Argentina continued to export corn at a record-pace during August, with Brazil shipping 7.2 MMT of the grain, a 96% surge from year-ago and a 75% gain versus the four-year average, according to Williams Shipping data cited by Reuters. This marks the third month in a row where Brazil has exported a record amount of corn. Over that period, Brazil has exported 16.5 MMT of corn.
Argentina shipped 2.5 MMT of corn in August, a 29% rise from year-ago levels. Exports for the first eight months of 2019 stand at 18.7 MMT, nearly a 38% increase over last year’s shipments at this point.
The U.S.’s trade war with China has opened a window of opportunity for South American growers, and relatively weak currencies in both countries versus the dollar gives them an additional advantage.
But the red-hot shipping pace should slow a bit in the months ahead as supplies tighten and U.S. supplies come available.