Soybean Exports to China: Brazil wants to occupy Argentina´s place.
Brazil, the world’s second-largest soybean oil exporter, said it’s “ready” to boost sales to China after the Asian nation blocked shipments of the commodity from Argentina, the biggest global supplier.
“We’ll try to occupy the biggest space possible left open by Argentina,” Brazilian Agriculture Minister Wagner Rossi said late yesterday in a telephone interview from Brasilia. “Brazil has an opportunity to take advantage of the Chinese embargo on Argentina by raising exports as we’re huge exporters.”
Brazil, trailing only the U.S. in soy output, is seeking to boost sales of oil extracted from the beans to China after the world’s biggest consumer halted imports from Argentina earlier this month over a trade dispute. Brazil’s potential for increasing soy oil shipments to China was among topics Brazilian President Luiz Inacio Lula da Silva planned to discuss with Chinese President Hu Jintao, Rossi said before a meeting of the two leaders today in Brasilia.
Brazil exported about 1.59 million metric tons of soybean oil last year. China accounted for about a third of that. In 2008, Brazil exported 2.31 million tons, according to the Brazilian Association of Oilseed Industries. Rossi declined to comment on the size of any potential increase.
Soybean futures for July delivery climbed 4.5 cents, or 0.5 percent, to $9.815 a bushel on the Chicago Board of Trade, up for a fifth session.READ MORE HERE.