Another decline forecast for the rapeseed crop in the EU was supported quotes

2020-06-30 12:11:07
Machine translation
Another decline forecast for the rapeseed crop in the EU was supported quotes

amid the recovery in oil prices and a forecast reduction of rapeseed production in EU rapeseed futures on Euronext started the week growth. August futures rose 1.25 €/t to 375,5 €/t or 422,2 $/t after the rise in price of canadian canola by 0.6% to 473,5 CAD/t or 346,3 $/t through drought conditions in some regions of Canada and a decrease in acreage by 0.8% to 20.8 million acres.

 

After the collapse at the beginning of last week, oil prices continued to recover from the news of the bankruptcy of another, already 12-th company, which was one of the pioneers in the field of shale oil and gas in the U.S., but due to the fall in prices received in the 1st quarter of $ 8 billion loss and was forced to declare bankruptcy.

 

September futures on Brent crude rose 1.1% to 41,38 $/bbl, while the August futures on WTI rose by 1.5% to 38.4 $/barrel.

 

Experts Strategie Grains in yesterday's report have reduced compared to estimated may forecast of rapeseed production in the EU and UK from 16.68 to 16.54 million tons, the Agency for the sixth month in a row reduces crop forecast, which not only will give bad last year's figure, but will be the worst since 2006, While the import forecast of rapeseed in EU 2020/21 MG increased to a record 6.2 million tons.

 

Strategie Grains Forecasts for EU still consider the UK in anticipation of negotiations on new trade relations between the country and the European Union.

 

According to the latest estimates Strategie Grains, in comparison with the year 2019 in this season of total harvesting area of rapeseed in the EU will be reduced from 5.56 to 5.43 million hectares, yield – from 3.07 to 3.04 t/ha and production from 17.01 to 16.54 million tonnes (20,04 million tonnes in 2018/19 MG).

 

In Ukraine, prices for canola last week fell by 5-10 $/t 408-410 up to $/t at the port, however, prolonged precipitation delayed harvest so the primary data about the yield yet. Production forecasts remain at a low level of 2.6-3 million tonnes, which will significantly reduce the export potential of rapeseed in the EU on the background of increased demand.

Visitors’ comments (0):