Prices for vegetable oils in Europe fell sharply against the background of active supplies of oilseeds from Ukraine and Australia

Significant volumes of deliveries to Europe of canola from Australia and sunflower from Ukraine led to a sharp decrease in the prices of vegetable oils, Argus Media reports.

According to the Australian Bureau of Statistics, the country exported a record 3.4 million tons of canola during the 6 months of the current season (as of March 31), most of which went to EU countries. Ukraine significantly increased sunflower exports to the EU, although before the war it exported mainly sunflower oil.

Thanks to the active supply of oil crops, the European Union has dramatically increased the volume of their processing, which has led to the oversaturation of the European market with vegetable oils.

According to Argus Media, EU sunflower and rapeseed oil prices fell to €800/t at the end of March, compared to over €2,000/t in June 2022. EU sunflower oil prices stood at $990/t FOB as of May 8, compared to $1,045/t FOB on the same date in April and $1,056/t FOB in March, according to Oil World.

Today, the Egyptian GASC will hold a tender for the purchase of 30,000 tons of soybean and 10,000 tons of sunflower oil, which will become a new price indicator for Black Sea soybean and sunflower oil.