Growing demand for biofuels will lead to further increases in vegetable oil prices in 2026/27 – Thomas Mielke

Promotion of Oilseed and Grain Cultivation (UFOP). As Mielke reported, for the past four years, oil production has been low compared to growing consumption, and reserve stocks are relatively small, which keeps prices above average. After a relatively short period of falling prices, the vegetable oil market in US dollars has been growing since June. Oilseeds with a high oil content, such as rapeseed and sunflower, are benefiting, while soybean prices are under pressure due to a global crop surplus, which is also putting pressure on soybean meal and cake prices. At the same time, according to the agency’s latest estimates, the average growth of global palm oil production by 2030 will be roughly halved compared to the previous decade, while demand remains high, especially in India and many African countries, due to above-average population growth. Growing demand, including from the biofuels market in the United States and Indonesia, will also push up prices. Exports from both ...