Rio Grande do Sul, one of the largest agricutural states, is currently studying the impostion of an emergency decree as the draught is affecting an increasing number of people on top of threatening crops. In particular corn production is being reviewed by Conab as a result of the draught. Some regions haven't see any rain since Oct 2011.
http://agricultura.ruralbr.com.br/noticia/2012/01/rio-grande-do-sul-estuda-decreto-unico-de-emergencia-devido-a-estiagem-3621586.html
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