World market: fat and oil products October 25-31

Published 2021년 11월 1일

Tridge summary

Sunflower oil offer prices for November delivery in Russia and Ukraine have decreased due to increased supply and declining demand, with Ukraine's stocks increasing by 33 TMT to 388 TMT. Pakistan has withdrawn its decision to reduce import duties on vegetable oils as the impact on domestic inflation was estimated to be minimal. The COVID-19 outbreak in China, Russia, and Eastern Europe has led to a decrease in demand for vegetable oils and biodiesel. Soybeans saw growth due to rains in the US Midwest, but growth was limited by below market expectation export shipments. Soybean oil prices decreased due to new outbreaks of the coronavirus infection and the weekly growth of oil reserves in the US. EuroNext rapeseed prices increased due to low oilseed stocks in Canada, but market participants believe the prices are overestimated and caused by speculative play rather than real external demand.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Sunflower oil • World offer prices for sunflower oil with delivery in November decreased in the reporting week by $ 60 / MT to the level of 1350 - 1370 $ / MT (FOB Russia), having lost the entire gain of the previous week. The decline in prices was facilitated by the growth in the supply of sunflower oil in Ukraine and Russia. In the absence of active external demand on the market, stocks of oil in Ukrainian ports increased by 33 TMT over the reporting week - up to 388 TMT. Demand was declining, including due to new outbreaks of COVID-19 in China and Eastern Europe, which disrupted supply chains, according to oilworld.ru with reference to AgroExport. • Pakistan has withdrawn its decision to cut import duties on vegetable oils due to their minimal impact on domestic inflation. Pakistani Planning and Development Minister Asad Umar said earlier that the government plans to cut taxes on vegetable oil from 17% to 8.5% in order to contain domestic prices, following India's lead. ...

Source: Oilworld