Thus, authoritative German research agency, OilWorld, disagrees with the last forecast of the USDA, in April, regarding soybean production in South America.
According to OilWorld exports, USDA estimates for Brazil, Argentina and Uruguay are overly optimistic, and, in fact, they do not reflect the damage caused by prolonged unfavorable weather conditions, which did not leave the area for the past few months. The OilWorld agency estimates the total yield of five major South American producers at 143.6 billion tons. One way or the other, it's much more than 115 million tons, which they managed to harvest during the previous season, which farmers will remember by severe droughts. However, it is much less than USDA estimated on April 10, which amounted to 148.75 million tons. On the basis of their own data sources and methods of analysis, OilWorld predicts Brazil's soybean yield to be 81.3 million tons against 83.5 million tons predicted by the USDA. OilWorld forecast for Argentina is 48.5 million tons against 51.5 million tons forecasted by the USDA.