For the first time in 25 years, prices for rapeseed oil in the EU fell lower than for palm oil

According to Mintec Analytics, for the first time in 25 years, rapeseed oil in the EU has become cheaper than palm oil, which is usually the lowest among the four main oils (rapeseed, sunflower, soybean and palm) and serves as a benchmark for market participants. Thus, as of March 16, rapeseed oil prices fell to the lowest level since January 2021 – 929.5 €/t FOB Rotterdam, while the price of crude palm oil was 951 €/t CIF Rotterdam. The reason was the oversaturation of the EU market, as local processors bought significant batches of rapeseed in Ukraine, of which 50% went to processing in the EU. Purchases were made at a relatively low price, which ensured an increase in margins and sales. Despite imports of significant quantities of rapeseed into the EU, demand for rapeseed oil remains low, both from the biodiesel industry and from the food industry. Most food producers bought rapeseed oil as an alternative to sunflower oil, as they expected supply disruption due to the conflict ...