USDA lowered its forecast for global oilseed production and stocks, which supported quotes

Published Feb 12, 2025

Tridge summary

The USDA has lowered its global oilseed production forecast for 2024/25 MY by 2.7 million tons to 677.7 million tons, primarily due to a decrease in soybean production. This is offset by increases in cotton, sunflowers, and rapeseed production. The global ending stocks of oilseeds forecast for 2024/25 MY has also been reduced by 4.27 million tons to 140 million tons. The new world soybean balance for the 2024/25 MY has changed, leading to a decrease in March soybean futures in Chicago by 0.6% to $383.24/t. The forecasted weather conditions in Argentina and Brazil are expected to impact the soybean harvest in these regions.

Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

In the February supply and demand report, USDA experts lowered the forecast for global oilseed production in 2024/25 MY by another 2.7 million tons to 677.7 million tons (657 million tons in 2023/24 MY), in particular soybeans - by 3.5 million tons, which is partially offset by an increase in cotton production by 0.4 million tons, sunflowers - by 0.43 million tons and rapeseed - by 0.14 million tons. The forecast for global ending stocks of oilseeds in 2024/25 MY was reduced by 4.27 million tons to 140 million tons, which will exceed the previous season's figure by 5.6%. Compared to the January estimates, the new world soybean balance for the 2024/25 MY has undergone the following changes: Based on the report, March soybean futures in Chicago decreased by 0.6% ...

Source: Graintrade