Brazil imported 802,451.5 tons of soybeans between January and August 2024, a volume 703.1% higher than the same period in 2023, according to the Ministry of Development, Industry, Commerce, and Services (Mdic). This marks the largest soybean import campaign in the country’s history, which is typically the world’s leading soybean producer and exporter. The record highlights the current shortage of marketable grain in Brazil.
Despite the sharp rise in imports, the FOB price of imported soybeans has fallen 20% compared to the first eight months of last year, offering some relief. By the end of 2024, Brazil could import up to 1.7 million tons of soybeans, mostly from Paraguay and Argentina, to meet domestic demand.
Currently, Brazil holds approximately 33 to 35 million tons of soybeans in storage, but much of that is no longer marketable. Sales from the production base have exceeded the five-year average, not due to faster sales by producers, but because of the total supply contraction.
Most farmers who still hold soybeans are waiting until early 2025 to sell, anticipating better market conditions. This situation is forcing some buyers to seek soybeans from neighboring countries, particularly Paraguay, which accounted for 99.3% of Brazil’s imports as of August. Last year, Paraguay represented 91% of the imports, while Uruguay accounted for 8.7%.
Additionally, Brazilian soybean exports have already reached over 83.4 million tons between January and August 2024, a 3.2% increase compared to the same period last year, with 73% of the total volume destined for China.
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