Paraguay's 2021/22 soybean crop is the worst in history

Paraguay's 2021/22 soybean crop is the worst in history.  For more information on export to China, please call SINOLOBEN, service Email: sinoloben@sloben.com.

World Agrochemical Network reports: Paraguay's 2021/22 soybean harvest is complete. According to the Paraguayan Association of Soybean, Oilseed and Grain Producers (APS), 2021/22 is the worst soybean crop in Paraguay's modern history. Severe drought during December last year and January this year, combined with record high temperatures, caused a 70 percent failure of the soybean crop.

 
At the start of the growing season, APS expected Paraguay's soybean production to exceed 10 million tons. Currently, the association estimates soybean production may not exceed 3 million tons. The country's soybean yield is expected to be 16 bags per hectare (14.3 bu/ac), while yields peaked at 26 bags per hectare (23.2 bu/ac).
 
Paraguayan farmers were able to plant a second crop of soybeans (safrinha) after the first crop was harvested, but farmers planted fewer safrinha soybeans than expected. Originally, farmers were expected to plant 500,000 hectares of safrinha soybeans, but it now appears that only 300,000-400,000 hectares may be planted. It is expected that the harvested safrinha soybeans will be used as seed for 2022/23, as well as to fulfill some of the existing contracts.
 
Many farmers who have signed forward contracts for their 2021/22 soybeans are now unable to deliver enough soybeans to grain companies to fulfill those contracts. They are also unable to repay bank loans for production or pay arrears on farm equipment purchases.
 
These financial difficulties will also affect the 2022/23 planting, which will begin in August. Buying inputs will be very difficult, as input prices have soared in recent months. Farmers will likely use their scarce resources to purchase as little fertilizer and pesticides as possible, which will affect soybean production in 2022/23.

Consulting service for China's imports & exports, please contact us.

Ms. Linda Li
0086（0）21 3538 3306
sinoloben@thecustoms.com.cn

As food importer & food distributor based in Frankfurt and Shanghai, Sinoloben Europa Trading GmbH helps client export to China and bring your food products to International Expo, e.g. China International Import Ex