DRY WEATHER SPEEDS UP SOYBEAN HARVEST IN BRAZIL

Long queues of trucks loaded with soybeans have been forming in front of elevators in the heart of Brazil's grain belt this week, a sure sign the harvest is speeding up and will soon pour an expected record volume of the oilseed into the market.

Brazil, the world's largest soybean exporter, started harvesting its 2016/17 crop around Christmas, earlier than in previous seasons. Planting started in late September, earlier than usual, on the back of excellent wet weather conditions.

Still, the dry weather that now boosts harvesting conditions in mature fields also raises concerns among farmers about yields in areas where pods are still developing.

"We have favorable weather for harvest ... but fields sowed later are now suffering with insufficient rains," said Gladir Tomazelli, head of local farmers association in Campo Verde, in the state of Mato Grosso.

Some farms have not gotten a single drop of rain in two weeks, he said.

Any eventual loss is not yet factored into current crop forecasts, though.

Earlier this week, Brazil's official crop agency Conab estimated national soybean production at a record 103.8 million tonnes, up 1.3 million tonnes from the December report, mostly supported by ideal conditions around the country. Mato Grosso's forecast increased by about 150,000 tonnes.

So far, the 2016/17 crop is in much better shape than 2015/16, when irregular rains influenced by the El Niño phenomenon frustrated an expected harvest of more than 100 million tonnes.

In the end, production was 95.4 million tonnes.

In Sorriso, Brazil's largest soybean county, located in northern Mato Grosso, dry and hot weather is also helping farmers to expedite harvest.

"There is a lot of work going on ... Some fields were supposed to be harvested only next week, but the sun accelerated the drying process," farmer Laércio Lenz told Reuters on the phone from inside his combine as he harvested on his farm.

Rains forecast for next week are helping to ease some farmers' concerns.

The weather forecasting firm Somar Meteorologia said Wednesday that precipitation will return to Mato Grosso next week, especially in the center and northern areas of the state.

Intermittent showers are expected, which should allow the soil to keep its moisture but quickly dry enough to allow harvesting to continue. (Editing by Bernadette Baum)