Brazil will surpass the United States to become the world’s largest soy producer in ten years. The forecast is in the Agricultural Outlook 2017-2026 report, released by the Organization for Economic Cooperation and Development (OECD) and the United Nations Food and Agriculture Organization (FAO).
According to the report, soybean production in Brazil is expected to grow at 2.6% per year, the highest rate among large global producers, driven mainly by higher availability of acreage for planting that Argentina (projected growth of 2.1% per year) and the United States (1% per year).
As a result, exports of the product in 2026 will likely be dominated by Brazil and the United States, which together account for almost 80% of global exports.
Global soybean output is expected to grow at a slower pace in the studies period: predictions point that it will continue to grow, but a rate of 1.9% p.a., below the 4.9% reached in the last decade.
The report states that Brazil and Argentina have experienced the greatest expansion in acreage over the last ten years, adding 10 and 8 million hectares to global acreage, respectively, and that the two are expected to have similar trends of expansion in the next ten years.