# Soybean Prices Rise as Drought in South America Reduces Harvest - farmdoc daily

> Economists at farmdoc daily report that Brazil, Argentina and Paraguay are expecting smaller soybean harvests after severe drought since November. Conab cut Brazil's soybean crop to 4,610 million bushels, down 9.2% from last year, and soybean futures hit nine-year highs in February.

- Date: 2022-02-25 · published 2022-02-25T12:00:00.000Z
- Category: weather · region Brazil · magnitude high
- Page: https://feedsoft.ai/events/42625-soybean-prices-rise-as-drought-in-south-america-reduces-harvest-farmdoc-daily
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Lower soybean output from the top South American exporters tightens global soymeal and oil supplies, pushing feed protein costs higher. Buyers should expect continued upward pressure on soybean meal prices while the shortfall persists.

## Read by commodity

- SBM: bullish ▲
- SBO: bullish ▲
- SOY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2022-02-28 | [Soybean Prices Rise as South American Drought Reduces Harvest \| Feed & Grain](https://feedsoft.ai/events/14055-soybean-prices-rise-as-south-american-drought-reduces-harvest-feed-and-grain.md) | +5.4% | +7.5% |
| SOY | 2018-03-05 | [South American drought helping to increase local canola prices -](https://feedsoft.ai/events/65972-south-american-drought-helping-to-increase-local-canola-prices.md) | -3.0% | -2.4% |
| SOY | 2025-01-16 | [EU soybean meal prices rise as Argentina's drought impacts production](https://feedsoft.ai/events/26587-eu-soybean-meal-prices-rise-as-argentina-s-drought-impacts-production.md) | +2.2% | -1.2% |
| SOY | 2021-05-07 | [Iowa farmers wary as drought deepens even with corn, soybean prices up](https://feedsoft.ai/events/46944-iowa-farmers-wary-as-drought-deepens-even-with-corn-soybean-prices-up.md) | +0.4% | -1.4% |
| SOY | 2016-04-19 | [South America weather, politics push soybean prices higher \| Farm Progress](https://feedsoft.ai/events/10298-south-america-weather-politics-push-soybean-prices-higher-farm-progress.md) | +4.8% | +11.6% |
| SBM | 2022-02-28 | [Soybean Prices Rise as South American Drought Reduces Harvest \| Feed & Grain](https://feedsoft.ai/events/14055-soybean-prices-rise-as-south-american-drought-reduces-harvest-feed-and-grain.md) | +4.2% | +9.0% |
| SBM | 2018-03-05 | [South American drought helping to increase local canola prices -](https://feedsoft.ai/events/65972-south-american-drought-helping-to-increase-local-canola-prices.md) | -4.7% | -3.3% |
| SBM | 2025-01-16 | [EU soybean meal prices rise as Argentina's drought impacts production](https://feedsoft.ai/events/26587-eu-soybean-meal-prices-rise-as-argentina-s-drought-impacts-production.md) | +3.5% | -2.5% |

## Sources

- farmdocdaily.illinois.edu: https://farmdocdaily.illinois.edu/2022/02/soybean-prices-rise-as-drought-in-south-america-reduces-harvest.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.