The slow-pace soyabean trade in Brazil has skyrocketed in recent days with higher demand from China, prices and premiums in ports for the Brazilian product strengthened and a dollar above $ 4, according to market reports. The volume of just over 5 million tons of soyabeans for export, the equivalent of a hundred vessels, ran in the market for shipments in June, July and August, according to reports by the Center for Advanced Studies in Applied Economics (Cepea ), researcher Lucílio Alves told Reuters. The key to this strong soyabean trade in Brazil, the world’s largest oil exporter, was the failure of last week’s trade talks between China and the US, which brought more demand to the Brazilian product. This additional demand came at a time when the dollar hit the highest value in more than seven months, which makes importing cheaper. This week business was boosted by both better prices, which generated more sales interest, and Chinese buying interest. He recalled that the price for shipping in Paranaguá (PR), an important export port, rose from US $ 326.48 / ton in early May to US $ 345.68 / ton the day before (FOB), for shipment in June. The combination of positive business factors comes at a time when Brazil is at the peak of the export season, soon after the oilseed harvest, which is expected to be the second largest in history, with more than 114 million tons, according to official figures, just behind the record of 2018. In addition, in the face of a delay in corn planting in the United States, the US soyabean area is expected to be larger than expected, which could result in a higher than expected oilseed crop.
Source: Portos e Navios