Brazilian soy price near seven-year high

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Inflated prices for feed ingredients can eventually spill over to the prices of fish feed.

Reuters reports that Brazilian has produced its slowest soy harvest in ten years. The backdrop of the story was that soy and sugar traders are fighting for room in Latin America’s largest port, Santos.

The price of soy, a main ingredient in salmon feed, could rise further, the publication added, due to ships being delayed. The price has increased 61.4 per-cent in one year, reports the Financial Times.

Substitutes for soy, such as corn, wheat and rapeseed also have risen to record-high levels.

The U.S. Department of Agriculture forecast soybean stocks at the Aug. 31 end of the 2020/21 marketing year at 120 million bushels, down from 525 million a year earlier. It would be the smallest ending stocks since 2013/14.

Soybeans Front Month Futures (soybeans bought or sold at an agreed price for delivery at a specified future date)  GRAPH: FT