Oil World raises Brazil, Argentine soyabean crops forecasts

Hamburg-based oilseeds analyst Oil World on Tuesday raised its forecasts of 2011 soyabean crops in Brazil and Argentina by a combined 1 million tonnes as harvest conditions were better than expected in both countries. Oil World now forecasts the 2011 soyabean crop in Brazil, the world's second largest producer after the United States, at a new record of 73 million tonnes against 72.5 million tonnes it forecast in late April. Brazil harvested 68.6 million tonnes in 2010.
This compares with 72.5 million tonnes forecast by Brazilian analyst Celeres on May 2. Oil World has raised its forecast of the soyabean crop in Argentina, the world's third-largest producer, by 0.5 million tonnes from its April estimate to 49.5 million tonnes, still down from 53.9 million tonnes harvested last year.
This is below the 50.2 million tonnes forecast by Argentina's Rosario grains exchange on May 6. Weather in both countries had improved in recent weeks and Brazil's harvesting is virtually complete, Oil World said. Brazil's bumper crop means it is likely to capture a larger share of the world soyabean market, it said.