Brazil hasn’t been able to capitalize on the China-U.S. trade war in a big way yet. Brazilian agricultural consultant Kory Melby says soybeans are starting to move, but slowly because of the new truck freight rates. “It’s been very difficult to to close business as the prices still have not, in Brazil at least, gotten back to the end-of-May highs.” Melby says Brazil could run out of soybeans and import as much as one million tons of U.S. beans by the end of the year. “Once new crop is in, the arbitrage is there in freight. Basically, now I’ve heard we’re within 30 cents of parity on being able to import U.S. beans for Brazil to crush to use just before there a new crop 2019 beans comes on line. Very strange times.”
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