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Brazil's animal protein sector warns of the consequences of importing corn

The chief executive of the Brazilian Animal Protein Association (ABPA), Francisco Turra, warned today about the adverse effects that the retention of corn, plus the importing of grain from neighboring countries, may have on cereal producers. "Many Brazilian producers are betting on even higher price rises, withholding sales.  The bet, however, has not considered the high inventories that major producers such as the US and neighboring countries to Brazil, have built up.  The world is full of corn.  If the winter crop does well, the most likely situation is oversupply on the domestic market, with a sharp drop in corn prices.  This is not a desirable situation for grain producers or the protein sector, as oversupply may influence the next harvest," said Turra.



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