August 3, 2012

Brazil's July soy exports down 15% due to drought

After drought slashed output from the crop harvest in May, Brazil's soy exports were slipped to 4.13 million tonnes in July, down 15% from June.

June-September are typically the peak export months for soy but the crop fell to roughly 65 million tonnes from a record 75 million tonnes the year before due to dry weather.

Despite the drop in soy output, the country is harvesting a record corn crop, which is expected to boost this year's exports to unprecedented levels. Prices are meanwhile rocketing into record territory due to drought in the US farm belt. Brazil exported 1.7 million tonnes of corn last month compared with 134,900 tonnes in June.

Iron ore exports jumped last month recovering after rain and logistics problems hurt output in previous months at Vale, the world's largest iron ore miner.

Raw sugar exports rose to 2.08 million tonnes as the main centre-south crush picked up speed after May and June rains eased over the cane belt. Raw sugar shipments were slightly below last year's July exports 2.29 million tonnes.