April 30, 2010

Brazilian group boosts 2009-10 soy crop outlook

The Brazilian Vegetable Oils Industry Association, or Abiove, on Thursday (April 29) raised its forecast for the 2009-10 soy crop to 67.9 million tonnes.

Abiove's March 11 estimate pegged the 2009-10 soy crop at 67.6 million tonnes; the 2008-09 crop produced 57.3 million tonnes.

The 2009-10 crop is progressing towards the end of being harvested.

Abiove also raised its data for exports, to 29 million tonnes against 28.8 million tonnes in its prior estimate in March. The association maintained the year's soy crush at 32.9 million tonnes as compared to its March estimate and up from 30.7 million tonnes last year.

Meanwhile, soy shipping from Brazil may face disruptions due to rains at the peak of the export season, according to the head of commodity exports at Paranagua port.

Luiz Antonio Borges da Silva, head of commodity exports at the soy-shipping port, said ship loading at Paranagua was earlier interrupted due to rains. A 30-kilometre (19-mile) line of trucks is parked at the port's inspection area waiting to unload newly harvested beans and is close to full capacity, Silva said. The bulk of soy exports occur between March and May.

Abiove members include the world's largest soy-exporting companies, such as Bunge Ltd. (BG) and Archer Daniels Midland Co. (ADM).

Brazil is the world's No. 2 soy producer after the US.