July 23, 2010

Brazilian soy exports may rise to record

Soy exports from Brazil, the world's second-biggest producer after the US, may rise to a record 30 million tonnes this year as China-led demand increases, an industry group said.

Exports of the oilseed will rise 5% from the 28.5 million tonnes shipped last year, said Sergio Mendes, a director at the Brazilian Association of Grain Exporters, which represents trading companies including Cargill Inc. and Archer Daniels Midland Co.

China, the world's biggest consumer of soy, will import a record 48 million tonnes of the oilseed in the year ending September 30 and 50 million tonnes in the following 12 months, according to a USDA report this month.

Brazil has shipped 19.3 million tonnes of soy this year as of June 30, analysts said, adding that China buys about 57% of the South American country's soy exports, he said.

Soy output in Brazil will rise to a record 68.7 million tonnes this year from 57.2 million tonnes last year, the Agriculture Ministry said on July 8. Brazil will export 28.8 million tonnes of soy this year, up from 28.6 million in 2009, USDA said.