Archive: Soya price outlook provides crumb of comfort

Published 23 February 15

This page has been archived and no longer updated. more info

With farmgate prices much lower than a year ago, many GB dairy farmers have been looking towards feed cost prospects for some crumbs of comfort. With soyabean market analysts highlighting reasons why prices may fall over the next 6 to 12 months, some relief may be felt in the form of future protein feed costs.

The three main global soyabean suppliers are the US, Brazil and Argentina – together accounting for over 80% of world production. In the US, soyabean stocks are estimated at their highest levels for 8 years while combined Brazilian and Argentine production is forecast at a new record of over 150 million tonnes. As a result there is expected to be significant downward pressure on prices when the record South American crop arrives. This pressure could last for a number of months.

For farmers buying in straight protein feeds, this may provide some reassurance for what the situation could be when feeding levels increase towards the end of the year. Key to how soya prices develop will be how big the South American crop actually turns out to be – DairyCo will keep farmers updated on the latest news on this once harvesting gathers pace in the spring.

soya forecast