Prices for vegetable oils are falling under the pressure of increased supply from Argentina.

The decision of the Argentine government to temporarily lift export duties on agricultural products has heightened uncertainty in the vegetable oil markets, as seasonal increases in global sunflower and rapeseed oil supply are compounded by active sales of soybean and sunflower oil from Argentina at significant discounts. The first to react were the October futures for palm oil on the Bursa Malaysia exchange, which fell 2.3% to 4343 ringgit/t or 1035 $/t yesterday after almost 5 weeks of price stability. On the Dalian exchange, the most active soybean oil contract dropped 3.14%, and CPO1 palm oil dropped 2.92%. December soybean oil futures on the Chicago exchange fell 6.6% over the week to 1099 $/t (-10% for the month) due to the lack of export prospects to China and uncertainty regarding the U.S. Administration's policy on biodiesel production quotas for 2026-27. During the week, soybean oil prices in Brazil fell by 35-40 $/t to 1105-1110 $/t FOB, and on the Chinese Dalian ...