{"id":1453628,"date":"2022-04-26T07:29:59","date_gmt":"2022-04-26T11:29:59","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1453628"},"modified":"2022-04-26T07:30:03","modified_gmt":"2022-04-26T11:30:03","slug":"its-becoming-too-expensive-to-export-soybeans-from-brazils-top-grower","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/its-becoming-too-expensive-to-export-soybeans-from-brazils-top-grower\/","title":{"rendered":"It\u2019s Becoming Too Expensive to Export Soybeans From Brazil\u2019s Top Grower"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fits-becoming-too-expensive-to-export-soybeans-from-brazils-top-grower%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1453628&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><\/div>\n<p>(Bloomberg) &#8212; It\u2019s getting very expensive to export soybeans from Brazil, the world\u2019s top supplier.<\/p>\n<p>Most Read from Bloomberg<\/p>\n<p>That\u2019s according to Cargill Inc., one of the biggest global shippers of the oilseed. Diesel price hikes and worsening road conditions have led to expensive freight rates. The cost to export soybeans this season has exceeded Cargill\u2019s estimates for freight rates by at least 25%, slashing margins, according to Paulo Sousa, who heads Cargill\u2019s operations in the South American nation.<\/p>\n<p>\u201cLogistics were very complicated for Brazil\u2019s summer crop,\u201d Sousa said in a telephone interview. \u201cWho could\u2019ve forecast oil prices at current levels?\u201d<\/p>\n<p>Spiking fuel costs in one of the world\u2019s biggest crop exporters are in focus, because they threaten to further accelerate food inflation that\u2019s gripping the globe. Transportation is already one of the biggest costs in getting crops out of fields to their ultimate destinations, which in the case of soy could be a livestock feeding operation or a food processing plant.<\/p>\n<p>In Brazil, more than half of grain and oilseed production is carried from farms to ports via trucks, and fuel prices largely determine freight rates. Also, a big difference between estimates and the real cost of freight can lead to significant losses for traders like Cargill, because companies usually discount freight costs when they pay farmers, often months before harvest.<\/p>\n<p>One bright spot is that soybean crushing margins are \u201cexcellent\u201d amid strong demand for soybean oil, Sousa said. Also, Cargill isn\u2019t expecting any shrinkage in soybean acres even as costs of fertilizer soar, because it\u2019s still profitable to cultivate the oilseed. While farmers may use less fertilizer, it\u2019s too early to estimate yield losses from that, Sousa said.<\/p>\n<p>Corn could also bring more profits for exporters in Brazil. Demand is expected to soar in the coming months amid declining supplies from the Black Sea due to the war between Russia and Ukraine, two important producers.<\/p>\n<p>Other takeaways from the interview include:<\/p>\n<ul class=\"caas-list caas-list-bullet\">\n<li>\n<p>A stronger real is adding to the difficulties for exports created by higher transportation costs, Sousa said.<\/p>\n<\/li>\n<li>\n<p>Soybean export volumes are being hurt by falling production due to adverse weather from La Nina patterns.<\/p>\n<\/li>\n<li>\n<p>Cargill hasn\u2019t seen disruptions to its imports of fertilizers so far.<\/p>\n<\/li>\n<\/ul>\n<p>(Update adds context on losses in fifth paragraph.)<\/p>\n<p>Most Read from Bloomberg Businessweek<\/p>\n<p>\u00a92022 Bloomberg L.P.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Bloomberg) &#8212; It\u2019s getting very expensive to export soybeans from Brazil, the world\u2019s top supplier.Most Read from BloombergThat\u2019s according to Cargill Inc., one of the biggest global shippers of the<\/p>\n","protected":false},"author":498,"featured_media":2315279,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1453628","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1453628","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/498"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1453628"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1453628\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1453628"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1453628"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1453628"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}