Global oilseed crushing probably will climb to a record in the next season as harvests accelerate in the Northern Hemisphere and production is set to rise in South America, Oil World said.
About 401.08 million metric tons of 10 major oilseeds will be processed in the 2013-14 season that begins Oct. 1, up from 387.07 million tons a year earlier, the Hamburg-based researcher said in an e-mailed report. Oilseeds including soybeans and rapeseed are crushed by processors to make vegetable oils and meal used to feed livestock. World production of seed oils probably will rise by 3.7 million tons from the previous year, while meal output will climb by 10.1 million tons, according to the report.
“With harvesting of large oilseed crops gaining momentum in the Northern Hemisphere in coming weeks, the global oilseed industry is gearing up for a record crush volume,” Oil World said. “This estimate is also based on the large oilseed crops shaping up in the Southern Hemisphere, which are still subject to many uncertainties.”
Soybean futures fell 7 percent this year on the Chicago Board of Trade as the U.S. Department of Agriculture predicts world harvests will climb to a record 281.7 million tons as production expands in South America and U.S. crops recover from last year’s drought. Rapeseed futures on NYSE Liffe in Paris slid 21 percent amid rising production in Europe, Canada and Ukraine.
Oilseed processing in China, the world’s biggest soybean consumer, will rise 1.6 percent from a year earlier to 90.72 million tons, “still significantly trailing the country’s huge crush capacity,” Oil World said.
Crushing in Brazil may climb 10 percent from the previous year to 41.08 million tons, while processing in Argentina rises 9.8 percent to 40.2 million tons, Oil World said. Brazil is the world’s top soybean exporter and Argentina ranks third, after the U.S. While South American farmers usually start planting soybeans in the next few weeks, major growing areas of both countries have experienced dry weather recently, Oil World said.
(Source – http://www.blackseagrain.net/novosti/global-oilseed-crush-seen-at-record-by-oil-world-as-crops-rise)