Source: APKinform (Ukraine)
An increase in inflation has been observed in Brazil, primarily driven by escalating corn prices, as reported by Reuters.
Currently, the price for a 60-kilogram bag of corn in the Campinas area (São Paulo state) has surged to R$90 ($15.80), marking a 23% increase compared to the same time last year, and it represents the highest level in the past three years.
This uptick in corn prices is connected to the country’s low grain reserves, high demand from producers of ethanol and meat, and concerns about the safrinha corn harvest due to adverse weather conditions.
Conversely, falling rice prices are tempering the inflation rate. In Rio Grande do Sul, this cereal has dropped to R$80 for 50 kg, which is the first decrease since October 2022, aided by a projected production rise of 15%.
Furthermore, analysts from Datagro have indicated that Brazil’s inflation this year could surpass the official target of 3%, and the ongoing increase in corn prices is likely to exert further strain on the Brazilian economy.
