Dollar continues depreciated in relation to other currencies, as euro, yen and Real. That keeps soybean prices, in dollar, at high levels, even with the larger global production.
Futures for the grain in Chicago Mercantile Exchange are still moving between 5.85 and 6.00 dollars per bushel. The global soybean production, in turn, should totalize, in 2006/07, 222.04 million tons, according to USDA, 1.85 million more in comparison to the previous season. If it gets confirmed, it would be a new record.
In Brazil, the soybean has been traded around 27.00 reals or 12.10 dollars per bag of 60 kilos, according to the Cepea/Esalq Index for soybean (Paraná State). Brazilian soybean growers and inputs' companies are focused on the next crop to be planted in the second semester. The Real valuation reduces the grains prices in local currency, but also presses down the inputs values.
According to Deral (Rural Economics Department), in Paraná state, the insecticide devaluated 19 percent from May 2005 and May 2006. The fertilizer downed 17.3 percent and the herbicides, 23.6 percent.