But they questioned whether the crop would crash to 1.3-1.4 million tons from first expectations of 1.7 million tons, as suggested by the Canola Association of Australia on Tuesday. If the forecast crop shortfall were to occur, however, neither Canada nor Europe could fully supply Asian markets, traders said. It s tight globally. If you got that sort of supply in Australia it would make it very, very tight. Brazil Poultry Industry Integrating Like the U.S. poultry industry, much of the Brazilian industry is vertically integrated, analyst Paula Santana Batista reported.
Brazil ranks second only to the U.S. in world chicken exports.
In some parts of Brazil, producers still sell directly to consumers, but most of the poultry industry in southern Brazil is now vertically integrated, with producers contracted to raise chicks for very large slaughter companies. The May 31 soy complex ended higher across the board in active trading. Soybean futures surged, drawing support from speculative buying based on concerns over the continued wet weather pattern across much of the Midwest. Short-covering, the strength in soymeal and some technical buying also contributed to the rally. Forecasts for cool, wet weather in the Western Corn Belt is causing concern about early crop development.