Argentina’s 2019/20 soyabean exports forecast has been revised downward by 36% from a forecast earlier this year, due to decreased global demand.
The US Department of Agriculture (USDA) projected 2019/20 exports at 8M tonnes, down 4.5M tonnes from its April projection and below the 2018/19 export figure of 10.6M tonnes in its 4 October Global Agricultural Information Network (GAIN) report.
Additionally, the country’s 2019/20 soyabean production was forecast at 53M tonnes, down from the USDA’s revised 2018/19 total of 55.3M tonnes, World Grain reported.
“Farmer selling has slowed since August 2019 as producers decide whether to sell what many consider to be low prices or holding as a hedge against future inflation and economic insecurity,” the USDA said.
The USDA was forecasting the country’s 2019/20 soyabean planted area at 18M ha, the same as last year, World Grain wrote.
Argentine soyabean crushers were forecast to process 44M tonnes in 2019/20, up 3M tonnes from April, due to increased global demand for soya meal and soya oil. The forecast was slightly higher than the country’s 2018/19 crush total of 43M tonnes.
Argentina is the world’s third largest soyabean producer after the USA and Brazil.