Ukraine: Trump's announcement shook the vegetable oil market

Published 2024년 11월 26일

Tridge summary

The article highlights the impact of increased tariffs on Canadian goods on the global agricultural market, with the Canadian dollar and Mexican peso experiencing a decline due to concerns over potential supply constraints. The tariffs are expected to reduce the supply of canola oil, used in U.S. biodiesel production, leading to a 3% increase in soybean oil prices. Palm oil prices have also seen a rise due to forecasted production cuts in Malaysia, while the exports of palm oil products have decreased by 8.2% in the recent period. Additionally, the average price of sunflower oil has seen a decrease, with Ukrainian export demand prices dropping and purchase prices for sunflower with 50% oil content falling due to lower sunflower meal prices.

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

Original content

That worried markets about possible supply constraints, sending the Canadian dollar to a four-year low, the peso to its lowest since 2022 and soybean oil prices up 3%, GrainTrade said. It is noted that the increase in tariffs on Canadian goods will reduce the supply of canola oil, which is used in the United States for the production of biodiesel. Against this background, December soybean oil futures on the Chicago Stock Exchange rose 3% to $934/t yesterday after falling 8.5% last week to $910/t (-3% for the month), but already after the close of trading. December palm oil futures on Bursa Malaysia rose 1.2% yesterday to 4,699 ringgit/t, or $1,056/t (-4.3% on the week), amid speculative buying triggered by forecasts of production cuts in the country According to surveyor AMSPEC, as a result of a sharp increase in palm oil prices, Malaysia reduced its exports of palm oil products in the period from November 1 to 25 by 8.2% to 1.16 million tons (compared to the same period in ...

Source: AgroPortal.ua