Brazil: Greater demand raises the price of soybean oil and the domestic price of corn drops again

Soy Soybean oil prices are on the rise in foreign and domestic markets. According to CEPEA researchers, this scenario is linked to expectations of firm demand from the biodiesel sector. On the supply side, Argentina (world's largest exporter of soy oil) should make available to the global market only 3.75 million tons of the product this season, according to USDA estimates, the lowest volume in 22 years. The smaller Argentine supply, in turn, is due to the drop in soybean production in the country, as a result of the unfavorable climate during the cultivation period of the oilseed. Thus, market agents expect greater global demand for the derivative in the United States and Brazil. This could increase the dispute between domestic and foreign consumers, as the USDA estimates that domestic demand in both countries will be a record in the 2022/23 harvest. Corn After registering two weeks of highs, internal and external corn prices fell again. In some regions monitored by CEPEA, such ...