Brazil's Ag Ministry announced Monday that the country has suspended import duties on corn, soybeans, soymeal and soyoil through the end of the year as it seeks to rein in commodity price inflation.
The Chamber of Foreign Commerce (Camex) had previously authorized suspension of corn import duties until March 31 and soybean import duties until January 15.
The ministry said the expectation when the original action was announced was that external prices would stabilize. "However, international prices had an upward trend, putting even more pressure on domestic prices," the ministry said. "Domestic prices continued to rise due to the strong external demand and the continued devaluation of the real against the dollar."
Some are expecting that the U.S. could benefit from the action.