RIO DE JANEIRO, BRAZIL – Chinese production growth is equivalent to Paraguay’s total yield, with more suitable land and climate, in addition to cultivars common to the two major world producers, Brazil and Argentina.
In Beijing’s race to reduce dependence on imports of the world’s largest oilseed flow, efforts to equip the approximately 9 to 10 million hectares of crops with technology are not lacking.
But since the 18/19 harvest, which posted a 13% increase over the previous one and reached just over 18 million tons, the volume supplied by local producers has advanced hesitantly, with difficulties in overcoming severe natural challenges.
Moreover, the gradual resumption of swine production, severely affected by African swine fever, will make this race even more unequal, favoring global suppliers even further.
According to data released by the United States Department of Agriculture (USDA) on Monday (11), the 21/22 season should see a drop of 600,000 tons over the last one.
Meanwhile, total imports of the largest global buyer of soy should reach 102 million tons, against 98 million for the 20/21 crop – or 100.3 million according to data from the Chinese customs authority.
The U.S. government’s report also points to existing stocks of 31 million tons, compared to 29.8 million in the last crop year.