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Meyer: Expect uptick in soybean sales later

The World Agricultural Outlook Board Chair says U.S. soybean exports will pick up, but not right away.

Seth Meyer says people will look at current export figures and say the U.S. is behind compared to previous years because of trade disruptions with China, but the significantly lower price for U.S. beans is attractive for other buyers.  “Given the wide spread between our prices and the Brazilian prices, the Chinese are buying from the Brazilians and everyone else is buying from us because of that price spread.”

Meyer expects an uptick of U.S. soybean sales to take place in the second half of the marketing year.  “In a normal year, you’d see shipments grow rapidly in the first six months and then tail off in the second half of the year, so when you look at the number we have here, it may appear we are behind on pace but you have to remember, we’re going to be shipping instead of to China, we’re going to be shipping to the rest of the world which is actually loaded into the second half of the (marketing) year.”

The USDA Soybean export marketing forecast for October remains unchanged as China continues to buy almost exclusively from Brazil.

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