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Brazil will harvest a record crop of up to 357 million tons of grains, but it does not have the capacity to store a large part of it. The storage deficit has reached the highest level in history and is equivalent to almost the entire production of Argentina.

Published on 28/05/2026 at 01:10
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Brazil is expected to register an estimated production of up to 350 million tons of grains in the 2025/2026 harvest, but the country’s storage capacity is 225.26 million tons, covering only 59% of the harvested volume. According to information from the Itatiaia portal, the storage capacity deficit exceeds 124 million tons, equivalent to almost the entire agricultural production of Argentina. Data from the National Supply Company panel shows that the country has 12,116 storage units, with the bulk system accounting for 202.41 million tons and the conventional system for 22.84 million.

Brazil is about to harvest the largest grain crop in its history, but it has nowhere to store almost half of it. The country’s storage capacity reached 225.26 million tons in 2026, according to data from the National Storage Units Registration System compiled by Conab. The problem is that the estimated production for the 2025/2026 harvest reaches 350 million tons. The storage capacity deficit exceeds 124 million tons, the largest in Brazilian history, a volume equivalent to almost the entire agricultural production of Argentina, forcing producers to sell in a hurry or leave grains exposed to losses.

The gap between production and storage capacity is not new, but it has worsened in recent years because the harvest grows faster than investments in storage infrastructure. Storage capacity has increased by 60% since 2010, rising from 140.55 million to 225.26 million tons, with an average annual growth of 2.99%. In the same period, grain production more than doubled, widening the gap between what Brazil harvests and what it can store.

The storage capacity numbers in 2026

illustrative/explanatory image
illustrative/explanatory image

The Brazilian storage system is composed of 12,116 storage units and 18,752 Agricultural Deposit Certificates. Out of the total 225.26 million tons of storage capacity, the solid bulk system represents 202.41 million tons, while conventional storage accounts for 22.84 million tons.

On-farm storage has advanced at a faster pace than the national average, with a growth of 3.65% per year. The volume stored on farms jumped from 20.98 million tons in 2010 to 37.25 million in 2026. The share of farms in total storage capacity also grew, reaching a peak of 17.01% in 2023 before slightly declining to 16.54% in 2026.

Where storage capacity is concentrated

The storage capacity infrastructure remains concentrated in the main producing regions. The Midwest leads with 92.63 million tons and 3,158 units, followed by the South region with 74.21 million tons and the largest number of storage units in the country, totaling 5,526.

The Southeast has 33.10 million tons of storage capacity, while the Northeast has 16.61 million and the North has 8.69 million. Among the states, Mato Grosso leads with 57.9 million tons, followed by Paraná with 35.9 million and Rio Grande do Sul with 33.4 million. The concentration reflects the geography of grain production but leaves expanding agricultural regions, like MATOPIBA, with insufficient infrastructure for the harvested grain volumes. Conab monitors the evolution of capacity through the storage panel, which highlights regional disparities.

What the storage capacity deficit causes in practice

When the producer harvests and has nowhere to store, they are forced to sell immediately, regardless of the market price. This supply pressure during the harvest period drives down prices and transfers bargaining power to buyers, reducing the income of the farmer who cannot wait for more favorable moments to market their grains.

In addition to financial loss, the storage capacity deficit causes physical losses. Grains stored in inadequate conditions suffer from moisture, pests, and contamination, reducing the quality and value of the product. Transportation is also affected: without storage, logistics are concentrated in the harvest months, overloading highways, railways, and ports in a short period and increasing freight costs.

What needs to change for storage capacity to keep up with the harvest

The annual growth of 2.99% in storage capacity is insufficient to keep up with the expansion of production. For the deficit to stop growing, the pace of construction of new silos and warehouses would need to at least double, requiring investments that the private sector alone has not been able to make at the necessary speed.

The federal government maintains subsidized credit lines for the construction of warehouses on rural properties, and Conab recommends that the ideal static capacity should correspond to at least 120% of production. However, adherence depends on financing conditions, licensing bureaucracy, and the producer’s investment capacity. The increase in the participation of farms in total storage capacity, from 14.93% in 2010 to 16.54% in 2026, shows that the movement exists, but it is far from solving a deficit that, according to Conab, already exceeds 124 million tons and grows with each record harvest.

Did you know that Brazil has nowhere to store almost half of the harvest it collects? Do you think the problem is a lack of investment, bureaucracy, or the rapid growth of production? Tell us in the comments.

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Maria Heloisa Barbosa Borges

I cover construction, mining, Brazilian mines, oil, and major railway and civil engineering projects. I also write daily about interesting facts and insights from the Brazilian market.

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