Home / News / Business news / Brazil port logjam's bullish soybeans

Brazil port logjam's bullish soybeans

03/29/2013 @ 9:25am

Soybean prices are expected to rise due to acute port congestion in Brazil, one of the world's largest exporters, ANZ Banking Group says in a report; "the shipping backlog from Brazil leaves the market poised for a rally."

The vessel line-up to export Brazilian soybeans is now above 12 million tons, about twice the amount from a year ago. Vessel waiting times at Santos and Paranagua ports are 40 days and 60 days respectively, prompting cancellation of orders by buyers in China, the world's largest importer, traders say.

Due to change in regulations for truck drivers, queues waiting to unload soybeans in Santos were sometimes more than 20 kilometers long this month. Any labor strike or a prolonged wet season could trigger a squeeze on Brazil's soybean exports, ANZ says. Brazil's soybean output is forecast to rise 24% this year to around 82 million tons, says the IGC.

CBOT May soybeans futures settled 49 cents lower on Thursday at $14.0475 a bushel as government estimates inventories above market expectations.

Contact us in Singapore. 65 64154 140; markettalk@dowjones.com
(END) Dow Jones Newswires
March 29, 2013 02:13 ET (06:13 GMT)
DJ MARKET TALK: Brazil's Port Congestion May Push Up Soybean Prices -ANZ->copyright

CancelPost Comment

Soybeans hit 8-month highs as processing… By: 04/15/2014 @ 3:31pm Soybeans jumped to the highest price in more than eight months after an industry report showed the…

Goldman Sachs is Bearish Wheat By: 04/14/2014 @ 10:01am Goldman Sachs (GS) Monday said increases in grains futures from ongoing Ukraine tensions would be…

USDA Report Summary By: 04/09/2014 @ 11:17am The following table is provided as a service to Dow Jones Newswires subscribers in conjunction…

This container should display a .swf file. If not, you may need to upgrade your Flash player.
Farm markets Rally on Weather, Ukraine