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LatinNews Regional Monitor: Brazil & Southern Cone - 23 July 2018
In brief: Brazil
*Local analysts have warned that should the current draught affecting south central Brazil continue in the second half of the year, then this could negatively affect the 2018/2019 sugar cane and coffee harvests. Brazil is currently harvesting its 2017/2018 sugar cane and coffee harvests, which is proving to be a bumper crop. But local analysts said that if the lack of rains continue until September, the start of the 2018/2019 harvest cycle, then yields could significantly fall next year. Acording to local consultancy Job Economia e Planejamiento, a continued drought could lead to the lowest sugar crane harvests in four years. Meanwhile Fundação Procafé, the local coffee producers lobby group, said that Brazil is set to harvest a record 58m 60-kg coffee sacks this year, but warned that if the dry weather continues until September and October “we would have problems”.
