SAO PAULO: Brazilian grain traders will export record volumes of both soyabeans and corn in 2023, according to projections released on Wednesday by trade group Anec that reflect a bumper crop and strong demand from China.

Brazilian corn exports are expected to reach 55.95 million metric tons in 2023, a 25% increase from last year’s level, which was already a record, despite logistics problems caused by a severe drought that slowed grain traffic through Brazil’s northern routes in the fourth quarter.

Anec, which represents global grains traders operating in Brazil, also predicted soyabean exports will reach an unprecedented 101.2 million tons, up some 30% from 2022 and almost 17% higher than 2021’s previous export record of 86.6 million tons.

“For the first time, a simultaneous record was broken for both soyabean and corn shipments,” Anec director Sergio Mendes said in a statement to Reuters. “The expectation is that we will close this year surpassing previous records for these grains by 25 million tons, with 14 million tons more for soyabeans and 11 million tons more for corn.” Mendes admitted that the drought hitting Amazon rivers caused some setbacks.

Anec said, however, it was not possible to quantify the extent of the problem as shipping volumes held steady throughout the year, including when the drought lowered river levels in the north. Navigation on some Amazon river tributaries, often tricky in the dry season, become especially difficult this year, threatening northern export routes that spurred Brazil’s export competitiveness over recent years.

On the Madeira River, for example, the government said in October barge routes between Porto Velho and Itacoatiara, where firms as privately owned Amaggi operate, were functional but barge loads had to be reduced as a precautionary measure.

Similarly on the Tapajos, barge traffic was disrupted for a time, leading Brazilian grain exporters to divert a small number of export cargos to southern port terminals, Anec said at the time.