USDA raised the forecast of global production and consumption of vegetable oils in 2024/25 MY but lowered the estimate of stocks, which supported the quotes

Published 2024년 5월 15일

Tridge summary

The USDA has released its first vegetable oil balance sheet for 2024/25 MY, predicting a 2% rise in global production and a 3% increase in consumption compared to the previous season. The global production of vegetable oils is expected to reach 228.28 mln tonnes, with soybean oil and palm oil production estimated at 65.4 mln tonnes and 80 mln tonnes respectively. Consumption is expected to rise to 224.9 mln tonnes, with China and India being the largest consumers. The report also anticipates a 6.4% decrease in world ending stocks of oilseeds due to decreased palm and rapeseed oil stocks. Additionally, futures for soybean and palm oil have seen price increases, while sunflower oil prices have also risen.

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

Original content

In the May report, USDA experts released the first vegetable oil balance sheet for 2024/25 MY, where they increased the forecast of global production by 2% and consumption by 3% compared to the previous season, but reduced the ending stocks estimate by 6%, which supported the soybean oil quotes. According to the forecast, the world production of vegetable oils in 2024/25 MY will increase to 228.28 mln tonnes (223.8 mln tonnes in 2023/24 MY, 218.33 mln tonnes in 2022/23 MY and 208.55 mln tonnes in 2021/22 MY), including soybean oil – to 65.4 (62.4; 58.6 and 60) mln tonnes, palm oil – to 80 (79.3, 78 and 73) mln tonnes, while the production of sunflower and rapeseed oil will remain at 21.7 and 34 mln tonnes, respectively. Consumption of oils in the food sector will grow more than in industry, as the development of electric vehicles gradually reduces the need for biodiesel. However, industrial consumption will still exceed food consumption. The global consumption of vegetable oils in ...

Source: UkrAgroConsult