March 2, 2006

Brazil's 2006/07 soy crush totals 29.7 million tonnes

Soy crushing totals for 2006/07 have slowed in comparison to 2005/06 and are currently estimated at 29.7 million tonnes, the Brazilian Vegetable Oils Industry Association (Abiove) said Wednesday Mar 1.

Brazil soy crushers continue to lose market share to Argentina because of a financial tax charged on transactions between Brazilian states, according to Abiove.

The 29.7 million figure is from a 2005/06 crop of roughly 57.1 million tonnes of soybeans, compared with a soy crush of 29.5 million tonnes from a 2004/05 crop of 52.6 million tonnes of soybeans.

As a result, Abiove estimated on Wednesday that while Brazil's soybean exports will rise, Brazil's soy crushers will ship less soyoil and soymeal internationally in 2006/07.

Abiove estimates Brazil will ship 24.5 million tonnes of soybeans to world markets in 2006/07, up from 22.3 million in 2005/06.

Meanwhile, soymeal exports are targeted at 13.4 million tonnes in 2006/07 compared with 13.9 million in 2005/06, with soyoil exports targeted at 2.4 million tonnes in marketing year 2006/07, compared to 2.55 million tonnes in marketing year 2005/06.

Abiove expects Brazil to produce roughly 57.1 million tonnes of soybeans in the coming 2006/07 crop year. Brazil is currently harvesting soybeans in Mato Grosso, but most states will start harvesting later this month. The harvest ends in May.