In its second new-crop forecast, AgRural reduced slightly the planted area to 21.8 million hectares, from 22 million hectares seen in August.
"The main reason for the reduced area was the cut in credit for planting due to difficulty in renegotiating debt from the last harvest following major crop losses and slow sales," AgRural said in a report. Brazilian producers still have an estimated 20 percent of the 2004/05 crop to sell because they have been waiting for higher prices and a more favourable exchange rate.
AgRural estimated 2004/05 soyabean output at 51.1 million tonnes, which was sharply lower than its original forecast due to drought in southern states. The 2004/05 soya area was put at 23.3 million hectares.