Brazil has overtaken the U.S. to become the global leader in soybean trade.

19-Dec-2024 10:40 AM

Brazil has overtaken the U.S. to become the global leader in soybean trade.
For the 2024/25 season, Brazil's planted area is forecast at 47.4 million hectares, 2.7% higher than in 2023/24. Over the past 25 years, Brazil’s soybean planting has steadily increased, now accounting for 58% of global trade, up from less than 40% a decade ago.
Soybean planting in Brazil reached 95% completion, and CONAB estimates production for 2024/25 at 166.2 million tons, 12.5% higher than in 2023/24. The USDA has pegged production at 169 million tons. China remains Brazil’s primary export destination.
Brazil’s soybean crushing capacity is expected to grow at double the rate of the past three years, with 13 new projects adding 37,000 tons/day from 2025 to 2027. This will increase the annual crushing capacity by 11.1 million tons. Crushing capacity is expected to rise from 59.4 million tons in 2024 to 72.1 million tons by 2027.
Due to Brazil’s "Fuel of the Future" law, soybean oil demand for biodiesel will increase. The biodiesel blend will rise from 14% in 2024 to 17% by 2027. As a result, soybean oil consumption will grow by 34%, reaching 7.9 million tons by 2027. However, exports of soybean oil are expected to remain limited at around 1 million tons annually, lower than the 1.8 million tons average of the past five years.