Both Brazil and Argentina continue to increase their production and export figures this year, according to the latest report from the American Soybean Association (ASA). The news falls in line with forecasts that South America will become the world's main soybean producer over the next five to 10 years.
Brazil's Vegetable Oil Industries Association (Abiove) says soybean exports for the 2003-04 period could reach 21 million tonnes, representing a 30.6 per cent jump from the 16.07 million tonnes exported last year. Meanwhile Abiove maintained the soybean crop forecast at 50.8 million tonnes.
Soymeal exports are pegged at 14 million tonnes for 2003-04, up sharply from 12.58 million tonnes last year. However the soymeal production figure was lowered to 21.8 million tonnes from 22.3 million tonnes in the last report.
The association's soyoil output estimate is 5.3 million tonnes, higher than the 4.96 million tonnes produced last season, while it predicts the 2003 crush will total 28.0 million tonnes, up from 25.84 million tonnes the year before.
Crushing dropped further in June to 2.2 million tonnes, compared with 2.33 million tonnes in May and 2.51 million tonnes in June 2002. Soymeal stocks also slipped to 925,000 tonnes at the end of June from 994,000 tonnes at the start of the month. Soyoil stocks totalled 257,000 tonnes at 30 June.
Argentina meanwhile exported 438,432 metric tonnes of soyoil in May, up 52 per cent more than the 288,446 tonnes exported during the same month in 2002, the Agriculture Secretariat reported last week.
According to the ASA , China was the biggest buyer of Argentine soyoil in May, accounting for 119,350 tonnes compared with none a year ago. India was a close second with 111,869 tonnes against 103,581 the previous year. Morocco ranked third with 52,120 tonnes compared with 17,500 a year earlier.