Drought in Brazil Coming Soon, Progress in Sowing Corn in the US Slow
The main reason for this seasonal variation is that the seasons in the main producing countries are entering an important period. With any agricultural product, the weather is always the riskiest and almost uncontrollable factor. And at this time, the United States and Brazil, two agricultural powers in the world, are both facing concerns during an important period of crop development.

(In the first 4 months of the year, corn imports to the Northern port decreased by 30% compared to the same period in 2021.)
In Brazil, the country grows two crops of corn a year, accounting for more than 20 percent of world exports. The first crop has already been harvested but the second crop, which accounts for most of the total production, is still in the developing stage.
Last year, a La Nina weather pattern appeared, causing drought to occur, causing heavy damage to Brazil's corn crop. This year, despite being planted in a more ideal time, the upcoming weather outlook is less favorable as the annual dry season begins earlier. In many areas, there has been no significant rainfall over the past 15 days. In the driest regions, the last rain was 3-4 weeks ago.
In fact, Brazil's National Weather Service (Inmet) says the dry season has begun in central Brazil. The dry season has started 2-4 weeks earlier than usual this year. This can have a negative impact on the second corn crop, especially when the plant is in a critical stage of growth and requires a lot of water.
The United States is the world leader in corn production. The increase in global fertilizer costs makes the area of maize in 2022 is forecast to decrease sharply. This is also the factor that makes corn prices have continuously increased since the beginning of March until now. With the prospect of fertilizer prices remaining high due to the impact of the war between Russia and Ukraine, US corn yields will also be difficult to achieve positive numbers, the Vietnam Commodity Exchange said.
Not only that, a recent report from the US Department of Agriculture (USDA) also shows that planting activities are continuously at a disadvantage. Crop progress is at its slowest since 2013 due to heavy rains and flooding in the Corn Belt, which produces more than 90 percent of U.S. corn.
What Will Be The Factor That Can Stop The Rise Of Animal Feed Prices?
In recent years, the price of animal bran in our country has also been affected by the increase in input material prices due to fluctuations in the world market, which significantly affects the production cost of livestock.
Generally, in the first 4 months of the year, corn imports to the Northern port decreased by 30% compared to the same period in 2021. Corn purchases tend to slow down, factories wait to monitor more weather conditions in the US. and South America for further purchasing decisions.
Instead, Vietnamese enterprises' imports of Indian panels have skyrocketed this year, recording about 80,000 tons in the first four months of the year, four times higher than the same period last year. This is considered a more affordable alternative supply in the context of high import corn prices.

(An increase in feed prices will negatively affect the livestock industry.)
After many years of restructuring the rice industry, Vietnam now almost no longer produces low-quality rice, even Vietnamese broken rice is high-quality broken rice, serving people and priced from 430 -450 USD/ton. While businesses only need low-quality broken rice, which can be bought at cheap prices from India, with a difference of more than hundreds of USD/ton, importing broken rice for processing can hope to help control feed prices. feed.
According to the Import-Export Department, the livestock sector is facing many difficulties due to the complicated developments of the Covid-19 epidemic, especially the price of raw materials for animal feed production continues to increase due to the conflict between Russia and the US. Ukraine.
The agency predicts that the price of corn and some key industrial feed ingredients will continue to increase in the coming time due to supply constraints. Prices of feed ingredients will continue to increase and remain high until the end of 2022.
An increase in the price of animal feed will negatively affect the livestock industry. The galloping price of finished feed has made the profit of pig farmers plummet, even some households and livestock farms suffer losses. Because of the fact, the cost of animal feed accounts for 65-70% of the production cost in livestock, breeds account for a smaller proportion.
Le Anh Agricultural Products specializes in manufacturing and trading livestock, poultry and aquatic animal feed: With the Northern Fago Factory factory in Dau Hamlet, Nghia Hung Commune, Lang Giang District, Bac Giang Province with an area of nearly 13 thousand m2, the total investment cost is more than 24 billion VND: The factory has a design capacity of 8,000 tons to 12,000 tons each with 50 animal feed products of all kinds including: Pig bran, chicken , duck, fish. Besides, Le Anh Agricultural Products and trading in import and export by sea of agricultural products such as soybeans, cassava residues, Indian broken rice, maize, extracted rice bran, dried bitter gourd, DDGS wheat, DDGS maize, cassava chips , corn gluten feed, cashew bran, anchovy head….With representative offices spread all over the country and abroad. Especially, in November 2022, Le Anh Agricultural Products had a representative office in the US. Le Anh Agricultural Products is committed to bringing customers and partners products with the best quality, cost and reasonable price.
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