Dry weather across some of the major producing regions in South America is putting upward pressure on corn and soybean prices at the start the new year. Dryness is expected to continue through the short term across southern Brazil and especially in the main-producing states in Argentina.
Argentina's influential chamber of soy oil manufacturers and exporters on Sunday improved an offer to striking workers, seeking to end a more than two-week standoff that has bogged down exports from one of the world's main breadbaskets.
Soymeal manufacturers in Argentina presented late on Tuesday a proposal aimed at ending a two-week strike by oil and port workers unions that has thrown a wrench in the flow of agricultural exports from one of the world’s main bread baskets.
Some of the world’s largest food companies and grocers urged commodity suppliers including Archer-Daniels-Midland Co, Bunge Ltd, Cargill Inc and Louis Dreyfus Co. to stop trading soybeans associated with deforestation in Brazil’s Cerrado region, a savanna that is a hive of biodiversity and one of the country’s most important carbon sinks.
Brazil has issued a protocol instruction legally authorizing imports of genetically modified (GM) soy and corn from the United States at a time when Brazil is dealing with low stocks and record prices for these products.
China imported 51,4% more Brazilian soy during September, than in the same month a year ago according to a release from the Chinese Customs on 25 October. Brazil exported 7.25 million tons of oilseed to China in September compared to 4.79 million tons in the same period in 2019, according to the agency.
Brazil expects its 2020-2021 grain harvest to beat the record set by the newly completed season by 4.2%, according to an initial forecast released by the state-owned National Supply Company (Conab).
The Brazilian government is set to discuss a proposal that would temporarily eliminate tariffs on corn and soy imports from countries outside the Mercosur trade bloc, as recently happened with rice, a staple of the Brazilian diet.
Argentina plans to temporarily cut soybean and soy meal export taxes by 3 percentage points to 30% to help stimulate export revenue as the country struggles with recession and dwindling foreign reserves, it was announced on Thursday.
Brazil's 2019-20 grains and oilseeds harvest reached a 258mn t record as total acreage increased and yields performed well, despite some unfavorable weather conditions throughout the year.