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4. INVENTORIES
Inventories by segment are presented below. Readily marketable inventories refers to inventories that are readily convertible to cash because of their commodity characteristics, widely available markets and international pricing mechanisms.
|
|
|
March 31, |
|
December 31, |
|
|
(US$ in millions) |
|
2012 |
|
2011 |
|
|
Agribusiness (1) |
|
$ |
4,713 |
|
$ |
4,080 |
|
|
Sugar and bioenergy (2) |
|
410 |
|
465 |
|
|
Edible oil products (3) |
|
605 |
|
489 |
|
|
Milling products (4) |
|
99 |
|
130 |
|
|
Fertilizer (4) |
|
541 |
|
569 |
|
|
Total |
|
$ |
6,368 |
|
$ |
5,733 |
|
(1) Includes readily marketable agricultural commodity inventories at fair value of $4,353 million and $3,724 million at March 31, 2012 and December 31, 2011, respectively. All other agribusiness segment inventories are carried at lower of cost or market.
(2) Includes readily marketable sugar inventories of $43 million and $139 million at March 31, 2012 and December 31, 2011, respectively. Of these sugar inventories, $38 million and $83 million are carried at fair value at March 31, 2012 and December 31, 2011, respectively, in Bunge’s trading and merchandising business. Sugar and ethanol inventories in our industrial production business are carried at lower of cost or market.
(3) Edible oil products inventories are generally carried at lower of cost or market, with the exception of readily marketable inventories of bulk soybean oil which are carried at fair value in the aggregate amount of $231 million and $212 million at March 31, 2012 and December 31, 2011, respectively.
(4) Milling products and fertilizer inventories are carried at lower of cost or market.
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