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Brazil is likely to harvest 59.0 million tonnes of soyabeans in early 2009, down one million tonnes from the previous forecast in October, Hamburg-based oilseeds analysts Oil World said on Tuesday. In 2008 Brazil harvested 60 million tonnes of soyabeans.
"There is still the risk that soyabean production will turn out below our current estimate of 59.0 million tonnes due to smaller than expected plantings and/or lower yields," Oil World said. Brazilian farmers were likely to reduce use of fertilisers and plant protection chemicals which could cut yields and raise the risk of damage to soyabeans from the Asian rust disease, it said.
It also cut its forecast of Paraguay's crop by 600,000 tonnes from its previous estimate to 6.0 million tonnes in early 2009 from 6.81 million tonnes in 2008 due to smaller than expected plantings and poor weather.
It raised its Argentine crop forecast by 500,000 tonnes to 50.0 million tonnes from 47.0 million tonnes in 2008 but warned it was concerned about dry weather in the country. "At the moment we still expect Argentine soyabean plantings to rise sharply by 1.3 million hectares to 18.2 million hectares, benefiting from the lower than expected plantings of other oilseeds and grains," it said.

Copyright Reuters, 2008

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