December 16, 2008

Soy prices lower amid higher oilseed production estimates

Global soy prices took a beating as global oilseed production forecasts climb.

Protein meal such as soy for feed is derived from oilseed.

According to USDA's World Agricultural Supply and Demand Estimates (WASDE) Oilseed Report, US Oilseed production for 2008-09 is projected at 88.20 million tonnes.

Global oilseed production for 2008-09 meanwhile is projected at a record 418.3 million tonnes up 0.4 million tonnes from last month.

The Solvent Extractor's Association of India said soymeal exports for the month of November stood at 648187 tonnes as compared to 590825 tonnes during the same period last year.

Global oilseed crush for 2007-08 is reduced 0.5 million tonnes this month to 348 million tonnes due to lower soy crush for Brazil, Argentina and the United States.