The U.S. Department of Agriculture this month issued predictions of this year’s world soybean crop as down for the fourth year in a row. Dry weather in South America over the past two months has significantly depressed forecast soybean yields and slashed production, driving prices to near record levels. The soybean crop in Brazil, Argentina, and Paraguay, the Southern Hemisphere soy belt, had been all to set to be a record, but is now projected down 18 million tons from the expected harvest level, which involves an expected drop (over original forecast) of 7% in Brazil, down 9% in Argentina, and down 37% in Paraguay.
Oilseed production of all kinds is falling worldwide. Prices to the consumer are soaring for oilseeds of all kinds. In the U.S. the bakers’ associations are asking the government to intervene and suspend biofuels, such as soy diesel.
