Processors support the price of soybeans in Ukraine at a high level

World price of soybeans falls under the pressure of declining oil prices and vegetable oil, caused by the uncertainty of world demand and increased production forecasts in South America.

But contrary to trends in price of soybeans in Ukraine is gradually grow due to containment of sales producers that are pending cancellation "soy edits" that will allow exporters to buy soy for the hryvnia.

Due to a lack of proposals, the processors raised the price of soybeans to 10500-10600 UAH/t with delivery to the plant, which significantly exceeds the price 10400-10500 UAH/t, which exporters will be able to pay including logistics costs after a change in legislation.

In the beginning of the season, refiners were getting huge margin by buying soybeans at 8600-9000 UAH/t with delivery to the plant, but the new law forced them to raise prices in competition with exporters.

soybean Futures in the US rose yesterday to 326 $/t compared to stop Argentina's exports of soybeans and products from it. On Wednesday, the Ministry of agriculture of Argentina has temporarily stopped the registration of agricultural exports, preparing for the increase in export tariffs on soybeans, oil and meal, 3% to 33%.

the Market for U.S. soybeans supported the delay harvesting of soybeans in Brazil and the hope of increased purchases by China.

According to Arc Mercosul, as of February 21, in Brazil soybeans threshed 34.2% of the area, whereas a year ago this figure was 46.3%. Over the last week the pace of harvesting has decreased in comparison with the previous period doubled and amounted to only 6.8%. It is expected that the country will gather 125-127 million tonnes of soybeans, which is 8-10 million tons higher than last year's harvest and will increase pressure on the world market.

lower margins soy processing in China due to demand reduction caused by the quarantine and coronaviruses, reduce purchasing activity in foreign markets.