Cepea, October 2, 2024 – The soy crushing industry boosted the demand in late September, increasing quotations again in the domestic market. The upward trend was reinforced by the fact that producers were refrained from trading large amounts. They were focused on the irregular volume of rainfall in Brazil and have uncertainties about the planting of the new crop.
The CEPEA/ESALQ Index (Paraná) moved up 3.41% from August 30 to September 30, to close at BRL 139.02 per 60-kg bag on Sept. 30. The ESALQ/BM&FBovespa Index (Paranaguá) rose 2.19%%, closing at BRL 141.16 per 60-kg bag.
Speculations about a possible port strike in the US have also led sellers in Brazil to be away from closing deals. The strike can affect shipments from the United States and redirect importers to Brazil. This scenario sustained increases of export premiums in Brazil.
CROPS – The 2024/25 planting activities were moving at a slow pace in the end of September, due to the scarcity of water in major soy producing regions. Conab indicates that, from the area in Brazil, 0.2% had been planted up to Sept. 22, below the 1.5% verified in the same period last year.
Conab’s first data indicate that the area cultivated with soybean in the 2024/25 season may increase 3%, totaling 47.4 million hectares. The expectation is that the productivity growth 9.6%, favored by the weather. As a result, production may reach 166.28 million tons, 12.8% higher than the data for the 2023/24 crop and a record.
(Cepea-Brazil)
