ANNUAL MEETING AFOA October 9, 2013 OUTLOOK SEMINAR ANNUAL MEETING AFOA October 9, 2013

Fundamental Factors in the formation of Prices Market World Macro-Economic Conditions Basic supply/ demand input Energy Market Investments Exchange Growth in Consumption of Protein

Source: USDA, Oil World

Area and Production of Grains and Oilseeds Source: USDA Oil World

CRUDE PETROLEUM

RELEVANT MARKET FACTORS PAST 18 MONTHS Crop Losses in Soy in South America March/April 2012 Increase in the Brazilian Corn Crop May/June 2012 Crop Losses in Corn and Soy in the U.S. September/October 2012 Record Soy and Corn Crops in South America Progress of Northern Hemisphere Crops Continued Growth in Palm Oil Production 2013

WORLD CROP SUPPLY/DEMAND (Mln. Tonnes, Mln. Hectares) This chart shows the tightness leading into the summer of 2008 and the large increase in wheat production that afforded the market some major relief. One good year doesn’t fix the problem, but with everything else in the financial markets being weak, it pushes us in that direction. It will take another year of good production to really make the market comfortable.

MARKET ISSUES Political / Financial Issues Final Northern Hemisphere Crop Results Rebound in 13/14 Livestock Demand Crude Oil / Energy Issues Southern Hemisphere Plantings / Weather Palm Oil Supplies / Stocks Biofuels Issues: Political / Economic? Farm Economics 2014?

CONTINUOUS OIL SHARE