In the case of soybeans, exports reached the mark of 2.6 million tons
Emily Alves
01/02/2024
January 2024 witnessed a historic milestone in Brazil's soybean complex exports, as reported by Giovani Ferreira. The data encompassing soybeans, bran, and oil reflects remarkable figures. With a partial analysis nearing the end of the month, there is a noticeable upswing in export activities.
Soybeans: Exports soared to an impressive 2.6 million tons, marking a staggering growth of over 200% compared to January 2023, which saw 830 thousand tons exported.
Soybean Meal: The export of soybean meal experienced a substantial surge, rising from 1.4 million tons in January 2023 to 1.9 million tons in January 2024, signifying a growth of over 30%.
Soybean Oil: However, soybean oil faced challenges, witnessing a drastic reduction of over 70%, dropping from 210 thousand tons to 50 thousand tons. Ferreira attributes this decline to soybean retention by producers, anticipating price reactions in Chicago and the dollar, which did not materialize.
Various factors, including a stagnant exchange rate and a robust Argentine harvest exceeding last year's supply by 20 million tons, contributed to price pressure. This, coupled with the Chicago market dropping below $3 per bushel and a lack of anticipated exchange rate reactions, prompted producers to release stored soybeans to avoid potential further price declines.
Amid discussions about a smaller harvest in 2023-24 compared to the previous year, the confirmation of these numbers and their impact on exports will become clearer in the second half of February, particularly with advancements in key producing regions such as Paraná, Rio Grande do Sul, and Mato Grosso.
Despite achieving record soybean exports, challenges within the soybean complex underscore market volatility and the importance of closely monitoring global conditions influencing the production and trade of agricultural commodities.
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