BRASILIA, BRAZIL — Brazil is set to have another record-breaking grain harvest in 2022-23 with wheat production estimated at 9.6 million tonnes and corn production at 125.5 million tonnes, according to a report from the Foreign Agricultural Service of the US Department of Agriculture (USDA).

If weather conditions remain favorable, Brazil’s wheat harvest will reach an all-time high.

“This increase in production is justified by the improvement of existing agricultural production systems, with wheat in crop rotation, better use of areas that were traditionally idle in winter, and investment in technologies, including new resistant cultivars adapted to different climates and diseases,” the USDA said.

If Brazil continues to see wheat production grow by 10% per year, it could reach 20 million tonnes of production by 2030.

“With domestic consumption estimated at 12 million to 14 million tonnes, Brazil would shift from an importer to an exporter of wheat to the world,” the USDA said.

Brazil is currently the 10th largest global wheat importer, with more than 90% of its imports coming in tax-free from its Mercosur neighbors, Argentina, Uruguay and Paraguay.

For 2022-23, imports are estimated at 5.6 million tonnes on a wheat grain equivalent basis. Exports are estimated at 3.5 million tonnes.

Corn planted area is estimated at 22.5 million hectares, an increase of 3.7% from last season. High demand for corn domestically and international has increased sowing, the USDA said.

Exports are estimated at 46.5 million tonnes, as Brazil has picked up different markets. China started importing Brazilian corn in November and is already the 11th largest importer, the USDA said.

Some analysts believe China could import 18 million tonnes of corn from Brazil in 2023.