July 27, 2011
EU soymeal imports to surge in short run
The EU is expected to sharply increase soymeal imports in coming months to replace lower rapeseed meal supplies due to a plunge in its rapeseed crop, Hamburg-based oilseeds analysts Oil World forecast Tuesday (Jul 26).
"The EU is likely to increase soymeal imports by about 2.2 million tonnes, bringing the total arrivals to an estimated 24.4 million tonnes in 2011," Oil World said.
This would be the second highest soymeal import season on record after the record imports in 2007-08, it added.
Oil World estimates bad weather will cut the 2011 EU rapeseed crop by 8.2% on-year to 18.8 million tonnes, five million below the bloc's requirements.
Argentina, Brazil and the US are the EU's traditional soymeal suppliers, it said. But the EU had in the past year also imported more Indian soymeal as it is free from genetically-modified organisms (GMOs).
Australia is also likely to win more sales of the rapeseed variant canola to the EU, Oil World said.
Australia is forecast to export 1.6 million tonnes of canola to the EU in 2011-12 season, up from 1.3 million tonnes in the previous season, it said.
The expected sales to the EU will mean Australia will have reduced canola supplies available for other global customers, it added.
