Bunge has extended its run of profits alerts into 2010, flagging the impact of hiccups in getting access to Brazil's record soybean crop and growing competition among North American oilseed crushers.

Shares in the world's biggest oilseed processor slumped 7% to their lowest for nearly a year.

Bunge cut to $5.30-5.80 a share its forecast for full-year earnings, from the $5.75-6.25 a share guidance unveiled in February.

The warning followed a January-to-March quarter in which Bunge's core agribusiness division suffered a 4.0% drop to 25.1m tonnes in volumes, and the group's results missed Wall Street forecasts.

"Grain origination results were lower largely due to the tight soybean situation in Brazil and slow farmer selling during the early stages of the harvest," the group said.

While Brazil is close to the end of a record soybean harvest, logistical bottlenecks have left ships waiting three weeks at port, and forced many farmers to store crop on the ground – besides being attributed by traders for resilient prices of the oilseed in Chicago.

'Pressure on margins' 

However, while South America soybean supply problems look likely to be resolved as crop comes through, Bunge would be "free of challenges", Jacqualyn Fouse, Bunge's chief financial officer, said.

"We may see some pressure on margins from increased oilseed processing capacity in North America," she said.

The US Department of Agriculture warned last month that US crushers faced a "sharper than usual" seasonal drop-off in demand this year, thanks to huge South American supplies, with some plants already reported to have cut capacity.

The company made no mention of last weekend's fire which has closed its Mannheim multi-oilseed plant for several months, and fuelled a 5% slump in prices of Paris rapeseed on Tuesday.

Appetite for deals

Bunge returned to the black in the first quarter despite the drop in agribusiness volumes, helped by a 12.5% rise to $10.3bn in sales.

While fertilizer sales were "weaker than expected… as farmers slowed purchases", the division sharply narrowed its losses, having worked its way through high-priced stockpiles.

And acquisitions totalling more than $1bn on Brazilian mills helped sugar division revenues jump by 162% to $1.03bn.

Alberto Weisser, the Bunge chairman and chief executive, said the group, which is to receive $3.5bn after tax from the sale of phosphate assets to Brazilian mining giant Vale, was on the look out for further acquisitions.

"We are in a strong financial position," he said.

Bunge shares closed 6.6% lower at $53.50 in New York, their lowest finish since last May.