1. Higher cattle prices lift incomes for Australian producers
Farm cash income of Australian beef cattle producers increased strongly in 2014?15 as a result of higher cattle prices and the highest beef cattle herd reduction in 36 years.
Karen Schneider, executive director of Australia's Department of Agriculture. said in a statement that high cattle herd reduction, which started in mid-2013, continued in major beef cattle producing regions in eastern Australia as a result of dry seasonal conditions.
"In northern Australia, farm cash income for beef cattle producers is estimated to have increased from an average of $74,700 a farm in 2013?14 to an average of $148,000 a farm in 2014?15, this is around 50% above the average for the previous 10 years," Schneider said.
"While in southern Australia, farm cash income of those farms mainly reliant on beef cattle production, is estimated to have increased from an average of $38,100 a farm in 2013–14 to $64,000 a farm in 2014?15, around 35% above the 10-year average."
Also, she said depreciation of the Australian dollar and strong export demand for Australian beef and live cattle resulted in a 24% increase in beef cattle prices.
2. Brazil chicken production seen up 5% in 2016
Broiler production in Brazil should increase 6% in 2016 to nearly 13.5 million metric tons as stable feed costs and higher exports drive increases, according a USDA attache report.
Depreciation of the Brazilian currency should drive exports. Also, record corn and soybean crops should stabilize feed prices. Exports of Brazilian poultry should increase to China, Chile, Cuba, Mexico, Pakistan, Malaysia, Myanmar, South Korea, and South Africa.
"A devaluation of the Brazilian currency of nearly 30% this year combined with a decline in feed costs makes the Brazilian product highly competitive in the world market," the report said. "The main constraint affecting next year's forecast is the current economic recession of the Brazilian economy. However, because of higher beef prices, broilers remain the most affordable animal protein in the country as consumer purchasing power is affected by rising inflation and high level of indebtedness of Brazilian consumers in general."
3. Argentina raises soy, corn harvest estimates – Reuters
Argentina's 2014-15 harvest will yield 61.4 million metric tons of soybeans, the Agriculture Ministry said in its monthly crop report on Thursday, up from its previous estimate of 60.8 million.
The ministry, in the Reuters story, also raised its estimate for the 2014-15 corn harvest to 33.8 million tons from its previous estimate of 31 million.
Argentine farmers will plant 4 million hectares (9.9 million acres) of wheat in the 2015-16 season, the ministry said. It had previously forecast the planting area of 4.8 million hectares (11.86 million).