WEST LAFAYETTE, Ind. (RFD News) — Brazil’s growing second-crop corn production is continuing to increase competition for U.S. farmers in global grain markets.
Dr. Joana Colussi with Purdue University’s Department of Agricultural Economics joined us on Friday’s Market Day Report to break down how production costs and returns compare between farms in the United States and Brazil.
In her conversation with RFD News, Colussi discussed findings from research comparing a typical Iowa corn farm with one located in Mato Grosso, Brazil.
The discussion focused on differences in corn input use and how production costs and gross revenues compared between the two operations.
Colussi also touched on how trade policies and broader market conditions continue influencing profitability for producers in both countries.
The conversation also focused on the agronomic risks associated with second-crop corn production in Mato Grosso and how these factors can influence profitability.
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Economists are also closely watching how policy decisions in Washington could influence markets moving forward. Analysts say deferred futures for corn, soybeans, and wheat suggest markets are operating near break-even levels, not at prices that would encourage expanded production.
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