W51 Soybean Oil Update: Russia Reports a 8% YoY Increase in Soybean Oil Exports to India and Algeria, and Brazil Anticipates 1% Rise in Soybean Oil Production

게시됨 2023년 12월 29일

Russia's Amur Region Achieves Record Soybean Oil Exports in 2023

From Jan-23 to Nov-23, soybean oil exports in Russia increased by 8% year-on-year (YoY) to 632 thousand metric tons (mt), with India and Algeria leading the purchases. In 2023, the Amur Region set a record for agricultural product exports, achieving a 20% increase in soybean oil exports, according to the Federal Ministry of Agriculture's plan. The region's success in exporting agricultural products indicates positive growth and performance in the industry.

Brazil Expects 1% YoY Increase in Soybean Oil Production for 2023/24 Crop

Brazil's 2023/24 soybean crop estimates were revised downward by Safras & Mercado due to unsettled weather, particularly a lack of rainfall in the main producing state, Mato Grosso. Despite the adjustment, soybean oil production is anticipated to increase by 1% YoY to 10.9 million metric tons (mmt). However, exports are expected to decline by 16% to 1.8 mmt, while domestic consumption is forecasted to rise by 8% to 9.3 mmt. Biodiesel use is projected to increase by 13% to 4.5 mmt and reserves are expected to decrease by 28% to 460 thousand mt.

Record Soybean Processing in Nov-23 Boosts US Oilseed Industry

In Nov-23, soybean processing at United States (US) oil extraction plants reached a record 5.1 mmt, the highest monthly figure ever recorded, according to the National Association of Oilseed Processors of the United States (NOPA). This surpassed the previous Nov-22 record of 4.9 mmt of oilseeds received. Consequently, soybean oil stocks in the country increased for the first time in seven months, reaching 0.5 mmt, compared to 0.7 mmt at the end of Nov-22. The surge in soybean processing is a traditional winter trend following the harvest.

India Extended the Reduced Import Duty on Soybean Oil to Curb Food Inflation

The Indian government has extended the reduced import duty on refined soybean and sunflower oil until March 25, 2025 to curb food inflation. The reduced duty, initially set to expire in Mar-24, will continue to support the edible oil market and help manage local prices. The decision aims to maintain stability in the edible oil sector and was implemented to address concerns related to food inflation.