LatAm Agribusiness：Agricultural Atlas： Mapping August Data

Investment Rating - The report does not explicitly state an investment rating for the agribusiness sector in Latin America, but it provides insights into price pressures and production forecasts for key commodities such as soybeans, corn, and cotton, indicating a cautious outlook for prices in the near term [3][4][5]. Core Insights - The report highlights a sideways view for grain prices over the next 18 months, driven by strong crop conditions in the US and Brazil, alongside modest increases in crop areas and productivity [2][3]. - For soybeans, Brazil's production forecast for 2023/24 is steady at 147.4 million tons, while the USDA maintains its estimates for the US at 153.0 million tons for the same period [3]. - Corn production in Brazil is slightly adjusted down to 115.6 million tons for 2023/24, but export forecasts have increased significantly, leading to a sharp decrease in ending stocks [4]. - Cotton production in Brazil is forecasted to rise slightly to 3.644 million tons, with global production estimates being revised downward, particularly for the US [5]. Soybean Summary - Brazil's soybean production for 2023/24 is estimated at 147.4 million tons, with a modest increase in acreage and productivity expected for 2024/25 [3][7]. - The USDA has raised the global soybean production forecast for 2024/25, primarily due to increased estimates from the US [3][7]. - Price pressures are anticipated due to strong crop conditions and a potential increase in US-China trade tensions [3][11]. Corn Summary - Brazil's corn production for 2023/24 is slightly reduced to 115.6 million tons, with an increase in export forecasts to 36.0 million tons [4][17]. - The USDA's estimates for US corn production remain unchanged, while global production forecasts have been slightly adjusted down due to lower EU estimates [4][16]. - The report indicates that US corn prices may face pressure in the short to medium term due to strong crop conditions [4][22]. Cotton Summary - Brazil's cotton production is forecasted to increase to 3.644 million tons for 2023/24, driven by higher productivity [5][27]. - The USDA has made minor cuts to US cotton production estimates, which has contributed to a tighter global trade flow [5][26]. - Futures prices for cotton have risen due to improved market conditions and alleviated recession concerns in the US [5][31].