Estimate was slashed from 144.7m tons a month ago due to drought and high temperatures seen in Brazil’s south and part of Mato Grosso do Sul since early November, AgRural consultancy firm says in report.

Brazil production is now seen below the previous record of 137.3m tons last season. Avg yield seen at 54.8 bags/ha, the lowest since 2015-16 season.

Parana and Santa Catarina states have consolidated losses.

In Rio Grande do Sul, the production forecast had an “aggressive cut” because heat and drought have shortened the plant cycle in several areas, where small plants are already flowering and filling grains.

“Rain and lower temperatures are necessary right away to avoid more losses in the state”.