Brazil soybean planted area and production in 2021/22 estimated lower

The USDA lowered its forecast for Brazil's soybean planted area to 40.4 mln ha and soybean production to 136 mln t in the 2021/22 season, World-Grain.com writes.

Analysts admit that extreme weather, with drought in some regions and excessive rain in others, has dampened prospects for a record crop. Although they add that this season sowing began optimistically, with most soybeans planted on time compared to last year.

"Post consequently also lowered the 2021/22 soybean export forecast to 88 mln t. Based on strong performance in the 2020/21 season, Post revised up the soybean export estimate to 88.5 mln t, a new record," the report reads.

For 2021/22, the soybean processing forecast was adjusted down slightly to 46 mln t, and maintained the 2020/21 crush estimate at 46.5 mln t of soybeans.

It is noted that the crush forecast and estimate is driven by domestic soy oil demand in Brazil, which will likely decline when the biofuel mandate is reduced to 10% in 2022.

With China’s strong demand for Brazilian soybeans, Brazilian soy stocks will hover at less than 5% of the domestic supply.

The IGC cut its soybean production forecast for 2021/22 to 368 mln t.

Soybean production in Ukraine in the 2021/22 season was completed at 3.43 mln t, the area harvested totalled 1.28 mln ha. Soybean yielded 2.68 t/ha on average in Ukraine.