Oil World has lowered the forecast of rapeseed crop in the EU to 13-year low

Experts Oil World reduced the forecast of rapeseed production in the EU in 2019 to its lowest in 13 years - 17,96 million tonnes, which is 9% lower than in the last year of 19.79 million tons.

Such adjustment due to dry conditions during sowing of oilseeds and reduced acreage by 18% to 5.61 million hectares because of low profitability of cultivation. Experts hope to increase the yield of rapeseed by 10% to 3.2 t/ha, but this figure will depend on the weather conditions.

According to the report, the rapeseed crop in France was reduced in comparison with the previous year by 12% to 4.34 million tons, Germany – 17% to 3.05 million tons, great Britain – 5.5% to 1.87 million tons, Czech Republic – 55 to 1.34 million tons, and most of all in Romania – 56% to 5-year low of 0.71 million tons.

the Decrease in forecast production is not yet affected the prices of rapeseed, which remain under pressure from low prices for soybeans and oilseeds.

Following the decline in oil prices 3% and palm oil by 4% yesterday on Euronext quotes rape fell by 2.25 €/t to 366,5 €/t or 409,11 $/t

the canadian canola prices continue to fall, now the spread between the prices of rapeseed and canola has reached a historically high level as in 2014. Canola futures at Chicago since the beginning of the week fell by 3.9% to 433 CADa/t or 321,5 $/t China heightens political tensions, and blocks not only the import of canola, but the canadian meat production.