Brazil to surpass Argentina in global soybean meal exports in 2023

The United States Department of Agriculture (USDA) forecasts that Brazil will surpass Argentina in soybean meal exports in 2023. This will make Brazil the largest exporter of soybean meal in the world.

The USDA forecasts that Brazil will export 21.5 million metric tons of soybean meal in 2023, an increase of 6% from 2022. At the same time, the USDA forecasts that Argentina’s soybean meal exports will fall by 20% in 2023.

The increase in Brazil’s soybean meal exports is due to a record crop in 2023. The USDA forecasts that Brazil will produce 41 million metric tons of soybean meal in 2023, an increase of 4% from 2022.

In Argentina, on the other hand, a severe drought has damaged the current cycle’s harvest. Amidst the production drop, the country saw forecasts for grain processing decrease to the lowest level in 18 seasons. With the reduction, the forecast dropped from 30 million tonnes to 21.4 million tonnes.

Brazil and soymeal consumption 

In addition to being a major exporter, Brazil is also a major consumer of soybean meal. The USDA forecasts that Brazil will consume 20.9 million metric tons of soybean meal in 2023.

The main driver of the Brazilian soybean meal market is the animal feed industry. Brazil is a major poultry and pork producer, and soybean meal is a key ingredient in animal feed. Soybean meal is also used in cattle feed, and Brazil is the world’s largest producer of beef.

The domestic demand for soybean meal in Brazil is high and corresponds to about half of the country’s production.

Source: Revista Oeste

To read the original news report, see: https://revistaoeste.com/agronegocio/brasil-deve-se-tornar-maior-exportador-de-farelo-de-soja-do-planeta/

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