No change in soybean production estimates of Argentina and Brazil

08-May-2025 01:59 PM

Buenos Aires. There has been no change in the soybean production estimates for Brazil and Argentina, the two leading producers in South America.

The forecast remains steady at 1690 lakh tonnes for Brazil and 500 lakh tonnes for Argentina. Brazil ranks first and Argentina third globally in soybean production and exports, with the United States holding second place.

In Brazil, preparations for soybean harvesting have reached their final stage. Most of the crop has already been harvested in the key producing states of Mato Grosso and Parana, as well as in most provinces.

Only the far southern state of Rio Grande do Sul still has some remaining crop to be harvested. As of now, about 95 percent of the national soybean crop has been harvested, with only 5 percent pending.

This season is expected to see a record-high production of 1690 lakh tonnes. Amidst the ongoing trade conflict between the United States and China, Brazil has succeeded in boosting soybean exports to China, which currently imposes a 125 percent tariff on American imports.

In contrast, Argentina is significantly behind in its harvesting progress. By April 30, 2025, only 24 percent of the soybean crop had been harvested, compared to 35 percent during the same period last year.

Heavy rainfall in several regions created waterlogged fields, delaying the deployment of harvesting machinery. According to field assessments, the crop condition is rated as weak or very poor in 22 percent of the area, normal in 39 percent, and good or encouraging in the remaining 39 percent.

Despite the delays, Argentina is still expected to produce around 500 lakh tonnes of soybeans in the 2024-25 season.

It is noteworthy that India imports most of its soybean oil from Argentina, making these developments particularly significant for Indian markets.