Soybean export sales drop to historic low

Global demand for U.S. soybeans has fallen sharply as international buyers remain discouraged by a strong dollar, slowing economic growth and uncertainty over the direction of U.S. trade policy in an election year. Export sales of new-crop soybeans were historically low as the U.S. entered the 2024/25 soybean marketing year on Sept. 1. However, several tailwinds could emerge to rejuvenate demand for U.S. soybeans in the marketing year ahead.

According to a new research brief from CoBank’s Knowledge Exchange, the pace of early season soybean export sales historically has a low correlation with final export numbers for the marketing year. With a record U.S. soybean harvest expected this fall, continued weakness in prices will likely attract new export demand.

“The U.S. soybean export program faces a number of obstacles in the weeks and months ahead, particularly with flagging demand from China,” said Tanner Ehmke, lead grain and oilseed economist for CoBank.… Continue reading