The United States Department of Agriculture published its forecasts for the import of the crop by the Asian giant.
The next agricultural yearwhich covers 2023 and 2024, would have a decrease of 2.5% in the imports soy by China, a premise that affects Uruguay that already has committed its exports of this crop that has been perceived to be declining for months due to the effects of the drought.
He United States Department of Agriculture United States published its estimates of imports of soy of China and foresees a decrease of 2.5%, which would translate into a slowdown to a figure of 98.5 million tons compared to 101 million tons in the 2022/23 agricultural year.
In that sense, the economic slowdown that the Asian giant had. “The prospects for economic growth of China “have weakened in recent months, posing a challenge to demand for oilseed products, particularly in the pork and poultry sectors,” the document states.
During the last financial year of 2022/2023, which ends in October, imports of China They totaled 84.3 million tons, an increase of 8.7 million tons, which represents an increase of 10%. With this, it is expected that, by the end of this month, the Asian giant will complete a record volume of 101 million tons.
Record imports of China this year is due, first of all, to the relatively low prices and the reactivation of demand for soybean meal and vegetable oil after the lifting of the country restrictions due to Covid-19which was seen to also support the great offer of Brazil which obtained a record harvest, unlike Uruguay which suffered one of the most serious droughts in a century.
China’s retraction and the serious state of soybeans in Uruguay
While the retraction of soybean imports of China will be seen because next year it will have a greater domestic production of soybeans, Uruguay continues to struggle with export numbers of this crop that compromise its economy.
According to the latest report of Uruguay XXI regarding exports of soy, during the month of August they plummeted again, achieving a drop of 83% year-on-year. The survey on foreign trade showed that the placements of the oilseed during August were for a total of 53 million dollars, when during the same period in 2022 sales were 303 million dollars, a reduction that was contemplated due to the climatic phenomenon that hit the country.
However, a rebound is expected in soy after the arrival of the phenomenon of The boy, that will come with more rain for the region. In fact, Urupov’s remote sensing system, based on information from its seed supplier partners, predicted an increase in the area planted with the product during the next harvest.
Source: Ambito
