December 11, 2020

USDA: Domestic soy supplies smaller than projected due to high processor demand

The United States Department of Agriculture's (USDA) World Agricultural Supply and Demand Estimates (WASDE) monthly report showed the country's soybean supplies was smaller than previously estimated because of surging demand from domestic processors, Reuters reported.

The USDA also lowered its global soybean stockpiles forecast, as key soy exporter Argentina continues to be affected by a months-long dry spell.

The USDA's World Agricultural Supply and Demand Estimates (WASDE) report, released monthly, showed US soybean ending stocks for the 2020/2021 marketing year at 175 million bushels. This is the lowest in seven years, because of a 15 million bushel increase to demand from processors.

The report's world soybean stocks view was cut from 86.52 million tonnes to 85.64 million tonnes, with the Argentina harvest outlook dropped to 50 million tonnes, cut by 1 million tonnes. It's Brazil harvest outlook remains unchanged at 133 million tonnes.

- Reuters