Despite the slight rise, prices for soybeans are lower than last year

2019-09-19 12:10:32
Machine translation
Despite the slight rise, prices for soybeans are lower than last year

the Decrease in the forecast of world soybean production because of reduced harvest in the United States, as well as the reduction of consumption in China as a result of the spread of ASF, continue to put pressure on global prices of soybeans.

 

Ukraine grows 4 million tons of soybean and 1.1% of world production, so it can not influence world prices as Brazil, which collects 120 million tonnes of US soybeans, with a harvest of 115 million tons.

 

the Purchase prices for Ukrainian soybeans decline despite the lower production forecast. Processors zo soy protein not less than 33% offer 8500-9000 UAH/t with delivery to the plant, exporters, depending on the terms of delivery and quality of offer in the port 312-317 $/t

 

the November soybean futures in the US traded 326,6 $/t, which is higher than the price level at the beginning of the previous season, although soybean production in the country decreased from 123.7 million tonnes in 2018, up to 98 million tonnes in 2019

 

news about the resumption of purchases of soybeans by China, the US and the possible signing in October of a trade agreement between the US and China has led to higher prices in early September. In the near future China plans to buy in the USA 5 million tons of soybeans, of which last week was sold 720 thousand tons

 

Prices for U.S. soybeans are now the lowest in the world and account for 338 USD/MT FOB US Gulf, while in the Argentine they reach 342-345 $/t FOB, and the Brazilian – 360-362 $/t FOB.

 

Chinese refiners because of the decline of the refining margins are looking for a cheaper soy, therefore, the permission for duty free import of soybeans from the United States will lead to a reduction in purchases of Brazilian soybeans, the price of which during the year trade war between countries has increased due to award.

 

Active export reduced soybean stocks in Brazil and a drought that impeded the sowing of the new crop, forces sellers to keep the market in anticipation of rising prices.

 

According to the Agency Deral, state of Parana soybeans planted only 20 thousand ha, compared to 490 thousand hectares last year. Meteorologists promise that in the end of the week in some areas of the state rains.

 

In some areas of the States of Mato Grosso and Mato Grosso do Sul were weak precipitation, which are unable to provide sufficient for the sowing soil moisture. In the South of Mato Grosso rainfall was not more than 100 days.

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