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Source: China resumes Brazilian soybean imports from five suspended firms before Lula's visit.

China, the largest soybean buyer in the world, has resumed Brazilian soya bean shipments that were previously suspended due to phytosanitary concerns. This is according to both Chinese customs data and a source who was familiar with the issue.

Brazil is the largest soybean exporter and producer in the world, and China's top supplier, as Beijing diversifies away from the United States - its second largest supplier.

Source confirmed that the supply resumed on April 25. This was weeks before a state visit by Brazilian President Luiz inacio Lula to China, and as China was trying to rally a global alliance against the U.S. Trade War.

In January, it was reported that China had suspended imports of related entities from Terra Roxa Comercio de Cereais (Terra Roxa), Olam Brasil (C.Vale Cooperativa Agroindustrial), Cargill Agricola S.A. and ADM do Brasil. Cargill has many subsidiaries that are licensed to export goods to China.

Brazil announced at the time that it would raise the issue with Beijing, and its Agriculture Ministry last month gave officials in Beijing information about the suspended companies.

According to the Chinese Customs Database, all entities that have the exact name of the five companies currently have "normal" registration status.

The database did not indicate the date of resumption, and it was impossible to verify previous status.

ADM do Brasil parent Archer-Daniels-Midland Co, Cargill Inc - the privately-held U.S. grain trading giant and parent of Cargill Agricola SA - Terra Roxa Comercio de Cereais and the parent firms of the other two affected companies did not immediately respond to requests for comment.

The Brazilian Embassy and China's GACC did not reply to any requests for comment.

China purchases over 60% of the global soybean trade and sources 70% of its imports directly from Brazil, further eroding U.S. share.

China will import a record-breaking 105.03 millions metric tons (tonnage) of soybeans in 2024. More than 74,000,000 tons came from Brazil. Brazil's bumper crop is expected to boost China's soybean exports to record levels in the second quarter.

(source: Reuters)