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Farmers in the USA are expected to plant more soyabeans next year, due to rising demand for soyabean-based biofuels, while cutting back on corn, according to a Reuters report.

With drought reducing soyabean production in leading supplier Brazil, a larger US soyabean crop would help meet increasing demand for renewable diesel and animal feed, the 7 December report said.

Argentina – another major supplier – has also seen soyabean production cut following a severe drought last year.

Meanwhile, US corn supplies were ample after a record crop in 2023, the report said. By 1 September, before the harvesting of the 2024 crop, US corn stockpiles were forecast to exceed 2.1bn bushels, a five-year high.

According to early forecasts by the US Department of Agriculture (USDA) and at least one private firm, US soyabean planted area is expected to expand next year while corn acreage was forecast to decline.

In a 7 November report, the USDA projected growers would plant 35.2ha (87M acres) with soyabeans in 2024, an increase of 1.3M ha (3.4M acres) compared to the previous year while corn plantings were expected fall to 36.8M ha (91M acres), down 1.57M ha (3.9M acres).

According to an S&P document seen by Reuters, similar projections were made with forecasts of US corn plantings at 36.9ha (91.35M acres) and soyabean plantings at 35.2ha (87.15M acres).