Lower prices for vegetable oil demand recovers

a Decline in prices for palm oil exchange in Malaysia last week by 5.4% increased demand for it from importers, which launched up the vegetable oil markets.

More quotes this week will support announced on 20 February, the tender for purchase of 30 thousand tons of soybean and 10 thousand tons of sunflower oil with delivery 10-30 APR.

Experts can not yet predict how you reduce the consumption of products in China because of the epidemic coronavirus and introduced as a result of her quarantine 650 million people. But traders are optimistic of a quick containment of the virus and recovery markets.

on Monday the United States was a holiday, but Asian markets worked. May futures for palm oil on the stock exchange in Bursa Malaysia are getting more expensive for the second consecutive session and rose yesterday by 0.9% to 2649,31 Ringgits/t or 639,3 $/t

Malaysia gradually recovered, the pace of palm oil exports. If 10 days of February, the gap from the corresponding figure for January was 29%, by the end of 15 days, it decreased to 10%.

Chinese virus reduces demand and prices for U.S. soybeans and products made from it. On Friday, traders have reduced their long futures positions in soybeans in the United States by almost 30% to the lowest December level 52700 contracts because they do not hope for a recovery in demand in the near future.

Due to the growth in the 4th quarter of the vegetable oil price Ukraine this season have increased compared to the corresponding period in 2018/19 MG sunflower oil exports by 61% to 2.22 million tonnes now, However, activity in the domestic market of sunflower oil dropped amid falling prices to 720-730 $/t FOB for shipments in March-April.

the price of sunflower oil for delivery in India fell to 790-800 $/t CIF, which reduced premium in comparison with the Argentine soybean oil to 20 $/t CIF and intensified the demand.

In the February forecast expert USDA, India will increase imports of sunflower oil from 2.5 million tonnes in 2018/19 MG up to 2.75 million tons in the current season due to reduced palm oil imports by 2.5% to 9.75 million tonnes. The forecast of import of soy oil in India has been left unchanged at 3.5 million tonnes, which is 13% over the previous season.