June 22, 2007

 

Iran buys Brazilian corn; Europe dominates Brazilian soy

 

 

Europe continues to be the leading buyer of Brazilian soy while Iran is also buying Brazilian corn, according to this week's port lineup by shipping agency Transcar Maritime in the Paranagua Port in Parana state.

 

Thisweek, Iranian ships are loading 60,000 tonnes of corn from the Bunge terminal in Paranagua. Another five ships bound for Iran are waiting at sea to dock and load. Corn is Brazil's no.1 export to Iran as it exported 3 million tonnes of the grain in the country from January to May, compared with 1.7 million tonnes over the same period last year.

 

Meanwhile, in the export corridor, 58,000 tonnes of soybeans are being loaded for Portugal and 14,000 tonnes of soymeal being loaded for Italy. Another 10 ships are waiting to load soymeal to France, Italy and Slovenia. Only one soybean shipment, 11,500 tonnes bound to Italy, is waiting to berth at this time.

 

Another 11 ships are currently scheduled for arrival this month, all carrying soybeans and soymeal for Europe and corn for Iran.

 

China has been somewhat absent from Brazil's soy market this week and has imported slightly less overall than was imported at this time last year. According to figures provided by a US multinational soy trader, Brazil shipped 6.3 million tonnes of soybeans to China this year, compared with 6.5 million tonnes last year.

 

China-bound ships are expected to load 10,990 tonnes of soyoil later this month in Paranagua.

  

Brazil has exported 7.6 million tonnes of soybeans from January to April, down from 8.8 million tonnes over the same period last year. Most of the movement is coming out of the Port of Santos in Sao Paulo, where 2.2 million tonnes have left in the first four months of the year, down from 3 million tonnes last year. Santos is Brazil's No. 1 export terminal.

 

Paranagua, Brazil's second soy exporter, shipped 1.8 million tonnes from January to April, up from 1.7 million tonnes over the same period in 2006.

 

No. 3 port Sao Francisco do Sul in Santa Catarina state, shipped 923,347 tonnes of soybeans, down from 1.4 million tonnes in the same period last year. Iran is currently loading 59,850 tonnes of corn at the No. 3 port and waiting to load another 55,000 tonnes chartered by Bunge. China is expected to ship over 108,000 tonnes of bulk soybeans from the southern port within the week.

 

Cargill is loading 46,500 tonnes of high-protein soy, higher-priced soy with more protein content than the usual soybean. The ship is scheduled to leave Santos on Friday, but no destination was given. Bunge will also be loading 30,000 tonnes of soybeans into a China-bound carrier this week.

 

Of the roughly 20 ships that have sailed out of Santos so far in June, eight of them were carrying soybeans bound for China with the rest bound for European markets. However, over the next three weeks, China will import roughly 540,000 tonnes of soybeans from all of Brazil's ports.

 

Brazil is the world's second biggest soybean producer behind the US.