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Brazilian soy deliveries to China from 5 companies stopped, sources say

China, the world's biggest soybean purchaser, has actually stopped receiving Brazilian soybean deliveries from 5 entities after freights did not fulfill phytosanitary requirements, 2 sources with direct understanding of the matter informed Reuters on Wednesday.

The suspension comes as Brazil has actually been boosting its share of the world's greatest soybean market at the expense of the no. 2 exporter the United States.

China, which purchases more than 60% of soybeans shipped across the world, now takes more than 70% of its imports of the oilseed from Brazil, consuming into U.S. market share.

With worries of renewed Washington-Beijing trade tensions, China protected almost all of its soybeans from Brazil for first-quarter delivery ahead of Donald Trump taking office as president.

Brazil has from Jan. 8 suspended deliveries to China from Terra Roxa Comercio de Cereais, Olam Brasil and C.Vale Cooperativa Agroindustrial, one of the sources stated.

On Jan. 14, Chinese customizeds suspended deliveries from Cargill Agricola S A and ADM do Brasil, the source added.

There were issues after some cargoes had been discovered with chemical contamination, pests or pests, sources said.

The moms and dad firms of the impacted entities did not instantly react to ask for remark.

China's General Administration of Customs did not react to an ask for remark.

When we try to process clearance on custom-mades' site for soybeans delivered by these five companies, we are unable to proceed, said the 2nd source, a trader at a China-based soybean crusher.

It was unclear how long the suspension would last, although traders expected it to be short-term.

It depends mainly on how rapidly the Brazilian companies can provide evidence that they learnt what was incorrect that caused these inconformities and supply a plan to fix that, the very first source stated.

The suspended companies are systems of a few of the biggest soybean suppliers to China.

We are taking it seriously, an official at one of the affected companies informed Reuters. He decreased to be called due to sensitivities of the problem.

China imported a record 105 million tons of soybeans in 2024.

(source: Reuters)