WINNIPEG (MarketsFarm) — When talking about South American soybeans, Paraguay usually gets only a scant amount of attention. Nearly all of the focus goes toward soybean powerhouses Brazil and Argentina.
Brazil was forecast to be the world’s largest soybean producer at 117 million tonnes in 2019-20, with Argentina third overall at 55.3 million tonnes, according to data from the International Grain Council (IGC). The United States was projected to be the second-leading producer in the world at 96.8 million tonnes.
While a good amount behind, Paraguay isn’t a slouch when it comes to soybeans. The country ranks sixth in world production with 8.8 million tonnes, as shown by the IGC’s figures. The commission pegged Paraguay’s production to rise by one million tonnes in 2020-21.
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Within North and South America, Paraguay is ahead of the rest of the pack after the big three, followed by Canada’s six million tonnes.
Soybean use in Paraguay ranks seventh in the world with 3.9 million tonnes. That’s expected to increase slightly to 4.1 million tonnes in 2020-21. The country’s exports of five million tonnes are fourth globally and will remain so in the coming year with a prediction of 5.8 million tonnes.
Paraguay started its 2019-20 marketing year in March with beginning stocks of 400,000 tonnes and that’s expected to drop to 300,000 for the next year.
Paraguay’s closing stocks for 2019-20 are projected to be 300,000 tonnes and are expected to decrease to 200,000 tonnes the following year.
Global soybean production for 2019-20 has been forecast to decline by 5.2 percent, according to the IGC, to 341.9 million tonnes. Beginning stocks were up 17.5 percent at 54.3 million tonnes, while closing stocks are expected to drop by one-third at 36.2 million tonnes.
