According to a report issued by a USDA attache in Brazil, Brazil is forecast to overtake the United States as the leading soybean producer in the world during the 2019/20 season.
Post revised up forecast for 2019/20 soybean planted area to 36.8 million hectares. The revision is based on the market exuberance over soybean prices in the last several months.
Production is forecast at 123.5 million metric tons (MMT) based on trend yields.
The delayed pace of planting should not significantly impact the harvest timeline, with the first soybeans harvested ready to ship in January.
Soybean exports are forecast at 75 mmt for 2019/20. Post revised 2018/19 export estimate to 73 mmt based on record volume of exports in October and November.
Post maintains the 2019/20 forecast of 44 mmt of soybeans destined for processing next season, driven by rising domestic demand for soy oil.
