Prices for soybeans the new crop exceed last year over a possible reduction of the crop

as you progress harvesting soybeans in the Northern hemisphere, prices remain high due to strong demand from China and dry weather, which reduces the yield potential in the U.S., and almost half in Ukraine.

amid 30-33 degree heat and almost lack of rain in recent weeks in the U.S. prices for soybeans increased to 336 USD/t, whereas a year ago they accounted for 318 $/t

According to the weekly monitoring by the USDA, the number of soybeans in good or excellent condition for the week decreased by 3% to 69%, significantly higher than last year's 54%.

Promised at the end of the week precipitation in regions of soybean production in the United States reduce speculative pressure on prices.

Quotes supports active U.S. exports of soybeans old crop, who last week increased by 24.5% to 1.15 million tonnes, which is 19% higher than the corresponding figure 2019 Main buyers were China (690 thousand tonnes) and the EU (213,5 thousand tons). Just 2019/20 MG as of 20 August, the United States exported 42.3 million tons, which is 26,5% less than the rate last year. To reach the USDA projected at 44.9 million tons of traders for the 10 days needed to ship 2.6 million tons of soybeans.

Due to strong exports of soybeans to China, Argentina in July decreased compared to June, the volume of its processing from 150 thousand tons to 3.5 million tons, which is 950 thousand tons lower than the level of July 2019 during April-July 2020 the volume of soybean processing in the country amounted to at least 7 years of 14.8 million MT, while its exports reached 4-year high of 5.48 million tons.

prices of Argentine soybeans are at the level of 370 us $/t FOB, on the Brazilian make 400 $/MT FOB.

Ukraine soy new crop non-GMO offer delivery to the border or to the port for $400/MT, soya GMO – on 345-360 $/t

the August drought reduces the potential harvest of soybeans in Ukraine, so in 2020 it will amount to 2.7 million tons compared to 3.7 million tonnes in 2019 and 4,461 million tonnes in 2018.

the new season will continue the competition between exporters and processors, in the case of lower prices in the second half of the year amid increasing production in Brazil, the Ukraine with the aim of filling the domestic market to import Brazilian soybeans.