Year-end stocks down, forecast offsets reduced South America prospects
The U.S. has raised its soy export forecast to 1.29 billion bushels in the 2011–2012 marketing year, a 15-million-bushel increase from its March forecast of 1.275 billion bushels, according to the U.S. Department of Agriculture.
The new numbers will decrease year-end soybean stocks to 250 million bushels. The larger forecast for U.S. exports partly offsets reduced export prospects for South America resulting from drought-reduced soybean crops, said the USDA in its monthly report. Forecasts for production and exports from both Brazil and Argentina were reduced. Brazil is now expected to produce 66 million metric tons of soybeans, down from March’s 68.5-million-metric-ton prediction, and the country’s exports have dropped to 35.7 million metric tons from a predicted 36.9 million metric tons.