Brazilian meal exports reach record levels in Q1 2025

Brazilian soybean meal exports in the first quarter of 2025 were record-breaking for the period, driven by favorable crushing margins and consistent demand from key destinations, particularly in the EU, according to government data.

According to data from the Secretariat of Foreign Trade, linked to the Ministry of Economy, Brazil shipped approximately 5.40 million mt of soybean meal between January and March of 2025, marking a historic volume that surpasses the previous record of 5.10 million mt set in the first quarter of 2024.

External sales were exceptionally strong in March, reaching around 2 million mt, as exporters accelerated shipments following delays caused by adverse weather conditions in previous months.

Brazil is typically the world’s second-largest exporter of soybean meal, trailing only its neighbor Argentina. The commodity is a key ingredient for animal feed, especially for poultry and pork.

Competitiveness

Brazilian soybean meal remained competitive throughout the first quarter of this year, as favorable crushing margins spurred the processing of soybeans and, consequently, the production of its byproducts.

Much of the industry’s attractive margins were attributed to high domestic soybean oil prices, reflecting expectations for increased biodiesel demand to meet the mandatory blend with diesel. The 15% mandate scheduled for March ended up being suspended, with the current blend still at 14%.

The average value of the Brazil Soybean Crush Spread, a price assessment by Platts that provides a synthetic calculation of the country’s crushing margin, was $67.43/mt between January and March of this year, up from an average of $57.69/mt recorded in the first quarter of 2024.

The export price of soybean meal FOB Paranaguá averaged $371.45/mt in the first quarter of 2025, a 6.3% decrease compared to 2024, still according to assessments by Platts, part of S&P Global Commmodity Insights.

Demand

Market participants also noted that demand for Brazilian soybean meal has been relatively strong since 2024, with shipments now materializing.

The EU stands out among the destinations. According to official data, the bloc accounts for nearly half of all Brazilian soybean meal exports, with the Netherlands leading purchases on the continent.

Sources consulted by Commodity Insights indicated that European importers accelerated their purchases of Brazilian soybean meal at the end of last year in anticipation of the EU’s Regulation on Deforestation Free Products legislation.

The EUDR was expected to take effect on Dec. 30, 2024 but has been postponed. It is now scheduled to start for large operators and traders on Dec. 30, 2025, and for micro and small enterprises on June 30, 2026.

Once implemented, EU-based importers will be required to provide verifiable information demonstrating that commodities such as soybeans were not cultivated on land deforested after 2020 and were produced in accordance with local laws.

“Upside”

Following a record first quarter for exports, Brazil may continue to see strong shipments for the remainder of the year.

This is due to the tariff disputes initiated by US President Donald Trump, which prompted retaliatory measures from other countries, disrupting global trade.

“We anticipate a significant upside to our export projection of 23 million mt if affected countries turn to Brazil,” Commodity Insights analysts said, referring to the expected shipments for this year.

“Among the nations targeted by Trump’s tariffs, the EU accounted for 44% of Brazil’s total meal exports based on a three-year average, followed by Indonesia at 16% and Thailand at 13%,” the analysts commented in the Weekly Soybean Complex report published on April 4.

Tags: Brazil, soybean meal