Prices for vegetable oils down under the pressure of decreasing demand

the Rapid spread of the virus Covid -19 in the US, where it infected more than 207 thousand people, puts pressure on the world's largest economy, since production and consumption of goods decrease.

Yesterday the indexes on the US stock exchanges fell by 4.4%, followed sank commodity markets, especially wheat and soybean oil, which has lost nearly 3,2-3,5%.

at the same time the price of oil Brent following a previous drop to 23 $/barrel yesterday rebounded to 26.6 $/barrel.

the May futures for soybean oil fell by 4.2% to 570 $/t, showing the largest one-day drop in the last two weeks and lost growth achieved over the previous 6 sessions.

According to the report of USDA, the soybean processing in the United States in February compared with the corresponding period last year rose 11 percent, but soybean oil stocks as of 1 Mar increased by 9% to 941 thousand tons

the price of palm oil exchange in Malaysia yesterday fell 2.6 percent to a weekly low of 2339 Ringgits/t or 563,47 $/t. Some producers of palm oil appealed to the authorities of Sabah with a request to cancel the ban on working plantations and factories for the production of this product, introduced at the time of quarantine for pandemic Covid -19.

due to the sharp fall in the price of soybean oil premium against palm oil decreased by 7 $/t, while premiums in respect of sunflower oil increased to $80/t

India due to the imposition of quarantine has dramatically reduced the demand for oil, which led to falling prices for may shipments of Argentine soybean oil 4.5% to 570-575 $/t FOB Up River.

Lack of demand lowers prices for Ukrainian sunflower oil, and large stocks at ports contribute to the purchase of sunflower, which grew in price.

a Decline in prices and the recovery of exports of soy oil from Argentina enhances competition in the Indian market, where Ukrainian sunflower oil is offered at 725-735 $/t CIF, and Argentine soy – for 655 $/t CIF.

Low consumption of motor fuels in Europe reduces the demand for biodiesel and the main raw material for production – rapeseed.

the price of rapeseed oil in the Netherlands has fallen by 10 €/t to 650 €/t for deliveries in may and June, and 680-690 €/t for deliveries in August and September.