Apr 05, 2024
Ethanol Production Will Utilize 25% of Mato Grosso's Corn
Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.
Internal demand for corn continues to increase in the state of Mato Grosso, which is Brazil's largest corn producing state. According to the Mato Grosso Institute of Agricultural Economics (Imea), the amount of corn utilized in the state in 2023/24 is expected to be 15.59 million tons, which is up 6.3% compared to the 14.66 million tons utilized in 2022/23. Of this total, 25% or 11.65 million tons from the 2023/24 crop will be utilized for ethanol production.
The amount of corn exported from Mato Grosso in 2023/24 is expected to be down 18.2% to 24.39 million tons. The amount of corn shipped to other Brazilian state is expected to be down 22% to 4.54 million tons. Poultry and hog production concentrated in southern Brazil, but the region has a corn deficit requiring imports from other states such as Mato Grosso where there is a corn surplus.
The demand for Mato Grosso corn in 2023/24 is estimated at 44.51 million tons, which is down 12% from 50.66 million in 2022/23.
Imea is estimating the corn production in 2023/24 at 45.29 million tons with a demand of 44.51 million tons leaving a carryover stock of 785,000 tons. The carryover is down 61% compared to the 2.02 million ton carryover at the end of 2022/23.