While U.S. soybean farmers are just starting to gear up for planting, South American soybean farmers are wrapping up their harvest. Or what they can harvest after their dry growing season.
Mac Marshall, VP of market intelligence for the soy checkoff and the U.S. Soybean Export Council, joins the American Ag Network to share how the reductions to the projected South American soybean crop represents demand potential for U.S. soybeans.
Marshall notes that for the second consecutive month, the U.S. Department of Agriculture has made pretty notable cuts to harvest projections across Brazil, Argentina and Paraguay. If you total it up across those three countries, it’s a reduction of over 18 million tons relative to December, going from 203.5 million tons to about 185 million tons.
Marshall says after putting all the data together, the latest World Agricultural Supply and Demand Estimates report affirms a positive environment for U.S. soybeans.
“This is definitely a great pricing environment. We’re also already seeing some ample demand for new crop beans,” says Marshall.