Brazil: Oilseeds and Products Update
Post forecasts 2017/18 production at 112.5 million metric tons (mmt), Brazil’s second largest crop after the record set on the previous season. Soybean exports for the 2017/18 Marketing Year (MY) are forecast at 65 mmt, as a result of strong demand by China. Post forecasts 43.5 mmt of soybeans destined for processing (crushing) in 2017/18 MY, based on higher biodiesel blending mandates, higher exports of soybean meal, and higher domestic consumption. A newly approved carbon credit scheme, RenovaBio, is expected to help reduce idle crushing capacity from 20 percent to nearly zero by 2020.
