Soybean and sunflower prices expect a new wave of growth
Purchase prices for sunflower and soybean in Ukraine received new support factors in the form of another increase in the dollar exchange rate, a reduction in forecasts for the global soybean harvest and higher prices for palm and soybean oil.
At the end of last week, against the background of the strengthening of the hryvnia exchange rate, prices for soybeans and sunflower in Ukraine slightly decreased, but yesterday the dollar rose again by 1.8%, and palm oil prices rose by 1.8%, which was the impetus for another jump in purchase prices.
However, the threat of a military invasion not only weakens the hryvnia, but also forces some international companies to abandon purchases until the situation stabilizes, which negatively affects price dynamics.
Prices for sunflower seeds with an oil content of 48-50% increased at plants by 200-500 UAH/ton until 20200-21800 UAH/ton, but the currency price is 708-765 ПДВ/ton with VAT, which is lower than last week.
Prices for sunflower oil remain at the level of F 1380-1400/ton FOB, but they have prospects for growth against the background of a rise in the price of palm oil to 1 1350/ton and soybean oil to.1450/ton.
Processors have raised prices for soybeans with GMOs to UAH 17,900-18,100/ton with delivery to the plant, but prices for exporters are even higher and reach UAH 18,100-18,400/ton in the port (due to an increase in the dollar exchange rate) or 5 560-565/ton.
For non-GMO soybeans, exporters offer 6 650-665/ton or 21000-21500 UAH/ton with delivery to the port or border, while processors pay no more than 20400-20500 UAH/ton with delivery to the plant.
Forecasts of a decrease in the soybean harvest in South America support March soybean futures on the Chicago Stock Exchange at a high level of 5 577/ton. in Brazil, soybeans are already harvested on 24% of the area, and Safras&Mercado analysts once again lowered their forecast for the harvest in 2021/22 MG from 132.3 to 127.17 million tons, which is 7.9% lower than the previous season, although soybean sowing areas increased by 4% to 40.75 million hectares.
