Low rainfall sparked worries for the 2024-25 Brazilian crop, but good weather should ensure record soybean production. National initiatives encouraging biodiesel-diesel blends should boost soybean demand for internal processing. Brazilian soybeans appeal more to foreign buyers, who favor exports, as the U.S. dollar rises against the Brazilian currency. Dollar negotiations for Brazilian port shipments in the first half of 2025 are much lower than a year ago, and overseas quotations are similarly lower. USDA and Conab predict record Brazilian production of 169 million tons (40% of the world harvest) and 166.2 million tons, respectively.
Sources: CEPEA-Esalq/USP/Uniao Nacional da Bioenergia (*Translated by Ia Niani)