As South American weather shrinks the country’s soybean crop, opportunities for U.S. soybean exports expand. An estimate from Oil World says combined soybean harvests for this year in Brazil, Argentina, Paraguay and Uruguay will decrease by 7.4 million tons from last season, a four-year low. Unfavorable weather – from drought to excessive rain – is pushing farmers to keep soybeans in stock as a hedge against inflation. U.S. soybeans are expected to pick up the demand remaining on the table and Oil World says the major effect will be on soymeal, most likely strengthening prices relative to soy oil in the next three to six months.

Read more on U.S. soybean export opportunities here.