Soybean prices are falling sharply in Brazil in early October, mainly influenced by lower external demand – Brazilian exports in 2022 are the lowest in the last three years.
In addition, Cepea researchers point out that the devaluation of the Dollar against the Real, the estimates that indicate a record production in Brazil and the advance of the harvest in the United States reinforced the downward movement in prices.
Additionally, many sellers sought to liquidate part of the stocks of the 2021/22 campaign, in order to “realize treasury”.
On the export side, Secex data indicate that, in September, 4.29 million tons of soybeans were shipped, 27.8% less than in August and 11% below the volume of September/21.
In the period from January to September 2022, 70.76 million tons of soybeans left Brazilian ports, the lowest amount since 2019, when compared to the same first nine months of the year.
According to Cepea researchers, the reduction in Brazilian exports is mainly due to lower demand from China.