Egypt bought sunflower and soybean oil at a price of $220 and $300/t lower than in February

Egypt's GASC this week held an international tender for the purchase of vegetable oils, where it purchased sunflower oil at the lowest price in the last 2.5 years.

Offers of sunflower oil at a price of $1000-1060/t with immediate payment and soybean oil at a price of $1079-1085/t with immediate payment were submitted to the tender, i.e. the prices were only $10-20/t lower than the offers at the previous tender on April 19, where GASC purchased 34,000 tons of sunflower oil and refused to purchase soybean oil, which was offered $80/ton more expensive than sunflower oil.

At the auction on May 11, GASC purchased 34,000 tons of oil for delivery from June 25 to July 10, significantly reducing the purchase price. So, a batch of 22,000 tons of sunflower oil was purchased from Agric Sa with immediate payment at a price of $950/t S&F, which is $70/t lower than at the tender on April 19 and $220/t lower than at the auction at the end of February . And a batch of 12,000 tons of soybean oil was purchased from Green Suppliers with immediate payment at a price of $1,025/t S&F, which is $300/t lower than at the tender at the end of February.

The decline in palm oil prices has stalled due to a seasonal cut in production, but sunflower oil prices continue to fall and fall behind soybean oil prices. Importers have stopped paying a premium for high-quality sunflower oil and are buying the cheapest oil, while Ukrainian exporters are cutting prices because they are deprived of the opportunity to supply large batches of products to the markets of China and India through the Black Sea ports.