In the week ending January 21, global oilseeds prices fell, mainly due to the fact that Brazil’s soybean production is expected to hit a record high, weather in Argentina’s agricultural production areas improved, and soybean crop conditions are expected to recover from previous drought conditions. In addition, after the previous surge, farmers accelerated the pace of sales, adequate market supply, technical signs of overbought, but also suppressed the price of beans. However, the Chinese delegation ordered a large quantity of U.S. soybeans this week. Soybeans need to rely on price increases to attract farmers to increase the scale of soybean cultivation, which restricts the downside of the oilseeds market.

Informa this week lowered US soybean acreage to 76.65 million acres, down from 77.57 million acres forecast in December. The U.S. Department of Agriculture estimates that soybean planting area in 2010 will be 77.7 million acres.

Private analyst firm Informa Economics said this week that Brazil’s soybean production in 2010/11 is expected to reach a record level, as recent rains in Rio Grande do Sul yielded improved prospects for soybean production. This year, Brazilian soybean exports will reach a record high of 31 million tons, which is higher than the 29.1 million tons of the previous year.

According to Argentina's Buenos Aires Corn Exchange, this year's Argentine soybean production may reach 47 million tons. At present, Argentina's soybean planting work has completed 98%.

Argentine farmers suspended sales of cereals and oilseeds this week to protest the government’s export restrictions. According to industry agencies, the number of soybeans and grains delivered at the largest port in Argentina has sharply decreased by 81%.

The Chinese trade delegation signed an agreement this week, purchasing nearly 11.52 million tons from the United States, worth US$6.18 billion. The American Soybean Export Committee said that the soybeans will be delivered this year and next year.

According to the US Department of Agriculture, as of today, the number of soybeans imported by China from the United States has reached 22.84 million tons, which is an increase of 13% over the same period of last year. It is also twice the 2007 and 2008 same period.