Brazil's soybean exports to remain subdued in July amid limited farmer selling, demand: sources

Brazilian soybean exports are expected to remain subdued in July as farmer selling remains limited, along with thin demand, market sources said.

According to the country's cereal exporters association ANEC, soybean exports in the month are estimated to be between 8.5 million mt and 8.96 million mt due to possibility of shorter cargo loadings, the July 13 report said.

The export volume estimate is up to 16% down from a month ago, the data showed.

Between July 4 and July 10, export volumes reached 2.52 million mt, but in July 11-17, the volume is projected to be 2.01 million mt, according to the report.

Soy meal exports are also projected to drop about 4.5% month on month to 1.76 million mt, ANEC said.

Volatility in future prices and fluctuations in the Brazilian currency against the dollar has led to farmers being reluctant to sell the oilseed at current prices, expecting a jump in prices in the coming months, market sources said.

As of July 15, the CBOT November soybean futures price was assessed at $13.85/bu at 1303 GMT, down 5.7% from a month ago, but up 2.6% from the start of the current week.

Sources added that export demand remains weak against domestic demand from larger pork, poultry and beef industries.

ANEC's export forecasts are based shipment schedules from Brazilian ports and are reviewed retroactively every end of month.