The University of Illinois Farmdoc Daily says Brazil’s farmers are shipping out a lot of soybeans. Brazil’s farmers harvested almost 160 million tons of soybeans during the previous crop season. That resulted in record exports in the first seven months of 2023.
Price competitiveness led to a significant increase in the volume of soybeans shipped to China. Brazil also benefited from sales to a nation that’s not on its regular customers list: Argentina, the third-largest soybean producer behind Brazil and the U.S. Argentina lost almost half its soybean crop because of drought. To meet its crushing industry contracts for soybean oil and meal, Argentina purchased Brazilian soybeans and became the second-leading destination for Brazil’s soybeans after China.
Argentina is also losing its top position as soybean meal exporter this season, giving up its spot to neighboring Brazil. Brazil’s soybean exports reached 72.47 million tons during the first seven months of 2023.