February 4, 2004

US Likely To Import Soybeans From South America

The United States is likely to import soybeans from South America amid tight domestic supply, Hamburg-based newsletter Oil World said on Tuesday.

"We expect that the U.S. will import about 300,000 tonnes of soybeans from South America sometime this summer to relieve the domestic tightness," it said.

"There is still some uncertainty about whether such imports will occur owing to concern about the rust fungus prevailing in South America, mainly in Brazil."

U.S. March/August soybean exports were forecast to fall to 3.90 million tonnes from 8.14 million in the same 2003 period.

U.S. March/August soybean crushings would drop to 18.35 million tonnes from 21.12 million.

"Some rationing of U.S. soybean usage already occurred in January and we expect another decline in exports and crushings in February 2004," it said. "But most of the rationing will occur in March/August."

U.S. end-February soybean stocks in all positions were likely to fall to 25.1 million tonnes, down 9.0 million on the year, it said.