Oil World cuts Argentine, Brazilian soyabean crop forecasts

21 Nov, 2012

Hamburg-based oilseeds analysts Oil World said on Tuesday it has cut its forecasts of 2013 soyabean harvests in Argentina and Brazil by a combined 3 million tonnes because of unfavourable weather disrupting sowings in both countries. Oil World now forecasts Argentina will harvest 54.0 million tonnes of soyabeans in early 2013, down from 56.0 million tonnes it forecast in October but still up from 40.5 million tonnes Argentina harvested in early 2012.
Oil World forecasts Brazil will harvest 81.0 million tonnes of soyabeans in early 2013, down from 82.0 million tonnes forecast in October but also still up from 66.8 million tonnes Brazil harvested in early 2012. Soyabean prices hit record highs in September as drought ravaged the US crop, but slumped to five-month lows on Friday as the US harvest turned out larger than expected and big South American output may relieve world supplies in early 2013.
But some parts of Brazil are too dry to enable soyabean sowings while some Argentine plantings have been disrupted by repeated rain, Oil World said. Oil World stressed that global soyabean stocks are declining and. The United States can satisfy a somewhat larger share of global soyabean demand than anticipated two months ago because its crop is larger than feared, Oil World said.

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