July 22, 2009
Strong US soy exports seen this year
US soy exports are likely to increase robustly in coming months due to low stocks of its rival South American suppliers, Hamburg-based oilseeds analysts Oil World forecast on Tuesday (July 21).
Supply shortfall in South America will greatly pull up world demand for US soy shipments in from end-September 2009 onwards.
Unusually low soy stocks in Argentina and Brazil following recent heavy export sales will cut the countries' soy exports in July and August, it said.
South American soy crushings are also seen to decline on the year, especially from October, raising global demand for US soyoil and soymeal.
Many soy importing countries have also switched purchases to US new crop positions, which are currently considerably cheaper than old crop, it said.
Oil World said it will be a great logistical challenge for US exporters to satisfy world import demand in October and November 2009 in a timely manner.
It is possible that in October and November 2009, world import requirements of US soy and products (will) exceed what the US can physically export, it added.
