Soya oil exports from the United States, Brazil and Argentina, the world's largest producers, will fall 8 percent in 2011 because of increasing biodiesel production, German-based analyst Oil World said on Tuesday. Soya oil exports from the three countries will fall to 7.5 million tonnes, from 8.17 million tonnes in 2010, Oil World said in its weekly report.
"Soya oil is almost the only feedstock for biodiesel production in Argentina and it has recently accounted for a share of 83 percent in Brazil," it said. It said the production of biodiesel in Argentina in 2011 is seen at 2.4 million tonnes, compared to 1.8 million tonnes in 2010. "With soya oil virtually the only feedstock for biodiesel production, total domestic consumption of soya oil is likely to continue to rise to 2.53 million tonnes,' it said. Oil World estimated Brazilian biodiesel production at 2.27 million 2011, up 8 percent from 2010.
"The dependence on soya oil will increase further and we estimate that it will account for 83 percent of all feedstocks used for biodiesel production in 2011, requiring 1.89 million tonnes of soya oil," it said. Oil World said that a decline in soya oil exports has forced consumers in the importing countries to switch to alternatives. "This is mainly palm oil, production and export supplies of which increased significantly since April 2011," it said.
Comments
Comments are closed for this article.