Falling soybean oil prices are putting pressure on other vegetable oil markets

Increasing supplies of soybeans, soybean oil and meal from South America and improved US soybean crop forecasts due to favorable weather are putting pressure on global soybean and soybean oil prices. In China, as a result of the active import of soybeans, the prices of soybean meal fell by almost 8% in a month, which reduced the demand for oilseeds.

Falling soybean oil prices are putting pressure on other vegetable oil markets. Palm and sunflower oil prices are still flat, while canola oil FOB Rotterdam fell 6.5% for the week to $1,030/t, in line with last year's level.

On the Chicago Stock Exchange during the week, November soybean futures fell 5.3% to $375/t (-8.7% for the month, -23% for the year) under pressure from favorable weather for US crops, while December f soybean oil prices - by 7.3% to $925/t (-8.8% for the month, -36% for the year).

In addition, lower oil prices put pressure on prices. September Brent crude futures for the week fell 3% to $78.7/barrel (-10% on the month) amid worse-than-expected data on the state of the Chinese economy and lower speculative demand caused by political tensions in Gazi

September palm oil futures on Bursa fell 1.4% for the week to 3,915 ringgit/t, or $847/t, but further declines held back a big increase in Malaysia's oil exports in July.

According to surveyors Intertek Testing Services and Societe Generale de Surveillance, during July 1-25, palm oil exports from Malaysia increased by 31-32% compared to the same period in June.

According to Trading Economics, for the week the average price of sunflower oil delivered to customers fell by 0.3% to $907/t. However, in Ukraine, against the background of a decrease in offers, prices for sunflower oil rose by $10-25/t to $855-900/t FCA plant. Sunflower harvesting has already begun in the south of the country, which will increase the oil supply in the near future.