February 14, 2008

Brazil's soy crop behind schedule, soymeal crush seen at 31.5 million tonnes

Brazil's new soy crop is behind schedule due to rains in Mato Grosso, with just 3 percent  harvested on a national level, farm consulting firm AgRural said Wednesday (February 14, 2008).

Last year at this time, Brazil farmers harvested around 7 percent of the crop.

In Mato Grosso and Goias states in the center-west, 10 percent of the area has been harvested compared to around 17 percent last year. In Parana, around 3 percent has been harvested compared to 5 percent at this time last year.

Meanwhile, the Brazilian Vegetable Oils Industry Association, or Abiove, said Wednesday (February 13, 2008), Brazil should crush 31.5 million metric tonnes of soy in market year 2008-09 out of a new soy crop estimate of 60.5 million.

The 31.5 million figure has not changed from Abiove's previous estimate made in December. The number is for soy that will be harvested in the new 2007-08 crop, to be sold in market year 2008-09.

Abiove maintained its export estimate for market year 2008-09 at 27.3 million tonnes. It also maintained its new crop estimate at 60.5 million tonnes.

Abiove estimated that Brazil will produce 24 million tonnes of soymeal and consume around 11 million tonnes locally, exporting the rest.

Soyoil production is seen holding steady from previous estimates of 5.9 million tonnes, with local consumption of 4 million and the remainder being exported. Soyoil consumption is expected to rise on account of the country's biofuel production. Brazil requires a 2-percent mixture of biodiesel in all diesel fuel.