Prices for soybeans are growing, despite increased production in South America

Experts Oil World I believe that in 2018/19 mg of soy production in South America will reach a record 190,4 million tonnes against 168,43 million tonnes in the previous season. In particular, Brazil will increase soybean production with of 119.3 to 122 million tons and Argentina to 52 million tons against last year of 35.3 million tonnes, due to adverse weather conditions. In addition, Paraguay will increase the production of beans from 9.8 to 10.4 million tonnes, Uruguay – from 1.45 to 3.3 million tonnes, Bolivia – from 2.6 to 2.7 million tons.

strong demand from China, Brazil will increase the acreage under soybeans to a record 36,28 million hectares. Favorable precipitation is allowed twice in comparison with the average to step up the pace of planting, already planted 20% of the planned areas.

Early sowing early will allow to raise a new crop and to resume exports and competition with American soybeans, and to allocate large areas for planting corn second crop.

the Increase in production will put pressure on prices, but on Monday in Chicago, they rose 4% to 325,9 $/t on the background of delayed collection and enhance the export and processing.

In the United States of soybean of delayed rains with snow and mild frosts. Traders expect the report threshed on the area and assess the rate of harvesting is 30% lower than last year.

soybean Exports for the week have doubled and amounted to 1,189 million tonnes, while two ships were sent to China, which had previously refused previously purchased parties. Weekly volume of soybean processing in the United States by 17.85 exceeded the same period last year.