CEPEA Corn: São Paulo Corn Prices Rise Again
According to CEPEA, corn prices in São Paulo rose again this week, driven by firm seller positions, international price increases, and tight inventories. While prices in most other regions of Brazil are falling due to the second crop harvest, São Paulo consumers are paying higher spot prices for immediate supply.
According to the Center for Advanced Studies in Applied Economics (CEPEA) at the University of São Paulo, corn prices in São Paulo state have resumed an upward trend this week. This price increase is primarily attributed to the firm stance of sellers, who are closely monitoring current climatic conditions and the rising international corn prices. Furthermore, reduced local inventories and the urgent need for immediate supply in the market have also contributed to the price hike.
Currently, consumers are actively negotiating again to meet their short-term supply needs and are willing to pay higher prices in the spot market. They are anticipating the further advancement of the second corn crop harvest, which is expected to increase market supply. However, it's important to note that in most other parts of Brazil, particularly in the Midwest regions, corn prices are generally on a downward trend. This is mainly due to the smooth progress of the second crop harvest. Despite this, buyers in São Paulo indicate a need to replenish their stocks.