According to AGN. "Grain Online", according to the July USDA estimates, the soybean crop in the three major producers in South America – Brazil, Argentina and Paraguay will be to 173.4 million tons in 2017/18 season, which is 9 million tons less than the crop of the current season, informs UkrAgroConsult.

The most significant decrease is expected in Brazil (7 million tons to 107 million tons) after record yields in the current season. In some regions it exceeded the previous record by 15-20%, and this trend likely will continue in the new season. Sowing for the new crop will be held from September to November, and the crop area may increase by 1-2%.

Production in Argentina may also decline (-0,8 million tons to 57 million tons) as farmers are more interested in increasing corn production that is not subject to export duty. The gradual reduction of the 30% duty on soybeans (-0.5% a month) will begin only from January 2018.

The third largest producer in Paraguay may collect 9.4 million tons against 10.6 million tons in the current season. As in Brazil, a repeat of the record yields recorded in this season, is not expected. In addition, the government is considering the introduction of export duties on soybeans, which will force farmers to reduce acreage under the crop.

Moreover, according to the South American analysts, the forecasted 2017/18 harvest season could be even lower, given the risks of unpredictable weather in South America.