Sunflower seeds and oil become cheaper due to competition from palm and soybean oil
during the week, palm oil prices dropped by 4.42 percent due to increased production in Malaysia and Indonesia, which is the second largest producer. The demand from importers is still low and the export price of Malaysian palm oil after the significant fall the day before rose to 736 $/ton.
Extra pressure is felt on the part of the market of soybean oil, which is currently on the Chicago stock exchange has 721 $/t, which creates a strong competitor to palm oil. The record-breaking soybean crop in South America and the optimistic production forecasts, for two weeks, the price of soybean oil fell by 6.5%.
In the EU, the price of sunflower oil fell to 790-795 $/ton.
Trends on the world markets affected the domestic price of sunflower oil, which during the week on FOB basis fell by 10-15 $/t to 740-750 $/ton for March shipments. Through this, the procurement price of sunflower decreased by 100-200 UAH/t and is:
- on EXW-Elevator 10500-10800 UAH/ton,
- on the CPT-plant 11000-11500 UAH/ton.
the Processors are not able to significantly reduce prices, because the domestic market lacks offers of sunflower.