South American soybean prices remain highly unpredictable

Although the soybean price has fallen in recent weeks due to an increasing supply, it is very uncertain how the price will develop in the near future, according to consultancy Liba. Liba advises farmers not to set prices too far in advance. Increased supply due to unrest The price of soy has fallen considerably in recent weeks due to a larger supply from South America. In addition, according to Liba, investment funds are selling their position in commodities because of the unrest in the American banking world and discussion about an increase in the debt ceiling of the US government. Drought puts yields under pressure The world market for soy is largely determined by the supply from South America. Drought and high temperatures have resulted in lower production in this region in recent years. In addition, Argentina exported about 30 percent less soy in the first quarter of this year. This is partly due to the fact that more soy is used locally due to Chinese investments in ...