The soybean crop in South America will fall by 9 million tonnes
estimates of the July USDA report, in the 2017/18 season three of the largest producer in South America (Argentina, Brazil and Paraguay) will gather to 173.4 million tons of soybeans, which is 9 million tons lower than in the current season.
most of the reduced production of soybeans in Brazil on 7 million tonnes to 107 million tonnes, If this season yields in some regions exceeded the previous record by 15-20% in the following, this trend is unlikely to continue. Sowing of soybeans for the new crop will carry out from September to November, and the acreage may increase by 1-2%.
Argentina's harvest will fall to 800 thousand tons to 57 million tons, as farmers are more interested in growing corn that is not subject to export duty. The gradual reduction of the 30% duty on soybeans by 0.5% on a monthly basis will not begin until January 2018.
soybean Production in Paraguay will be reduced from the current 10.6 million tons to 9.4 million tons and Brazil, record yields here are unlikely to be repeated. In addition, the government plans to introduce export duties on soy, for which farmers will reduce acreage under oil.
South American analysts believe that, through unpredictable weather risks in South America soybean crop in season 2017/18 can be even lower.