Soybeans hit highest value since 2016 | Closed at 4 …

The price of soybeans recorded its third consecutive increase on Thursday and was above $ 400 per tonne, its highest value since 2016. In the Chicago market, which marks the international benchmark price, it stood at $ 407, in a trend that will remain firm in the coming weeks due to a drop in production in Brazil, an increase in Chinese demand and drought outlook for South America in the coming season.

The increase is good news for Argentine production and for the incorporation of foreign currencies, in a context of speculation on exchange rates. Along with soybeans, prices of other commodities such as corn and wheat have increased. Soybean oil, meanwhile, climbed $ 15 to 773.1 in the most immediate position.

In April, the international soybean price was $ 100 lower than it is today. Since June, Brazil has started to show a depletion of soybeans for export due to a persistent drought that has been instrumental in the rise in prices. In August, a ton of soybeans was at $ 316.

After the most difficult phase of the pandemic for China, the Asian giant began to significantly increase its purchases. One of the reasons is that it has changed the methods of pig production, with increasingly technical farms requiring higher rations of soybeans and corn to feed the pigs. Added to this structural change is the prospect of an upcoming soybean season affected by the La Niña phenomenon, particularly in Brazil.