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Why doesn’t Brazil plant more?

Overview

With arable farmland disappearing in several major grain- and oilseed-producing countries, Brazil is widely reckoned to be one of the world’s best hopes for agricultural expansion at a time of depleted global food stocks. But sky-high corn and soy prices on the Chicago Board of Trade have not yet translated into sizeable increases in Brazilian crop planting intentions for several reasons.

Brazil is no longer the low-cost producer it once was, with estimated 2008/09 soy production...

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