Prices for soybeans in Ukraine remain under pressure from low demand

the Reduction in sowing areas and production of soybeans in Ukraine is not worried about market participants, because in the background of low demand, the supply of oilseeds is still high.

As of September 24, domestic farmers from 742 thousand hectares or 47% of the area has collected 1.7 million tonnes of soybean on the yield of 2.3 t/ha In the current season soybean production will be reduced in comparison with the previous season, from 4.4 to 3.8 million tons.

After the cancellation of VAT refund to exporters of soybean demand by traders minimum. This also contributes to the fall in world prices and the reluctance of producers to independently export their own products.

Processors started to shred the sunflower, as refinery margins surged sharply due to a good harvest to the fall of purchasing prices for sunflower on the background of high prices and active demand for sunflower oil and meal. Private processors buy soybean in terms of protein content is not less than 37.5% of the price 8200-8600 UAH/t with delivery to the plant.

Exporting the offer of the soy protein 36-38% 312-317 $/t at the port, and the soy non-GMO protein 38-39% 325-330 $/t at the border with Poland and Belarus.

World price of soybeans remains low after the reduction of demand from China as a result of ASF. Prices for soybeans in Brazil is 360-365 $/t FOB compared 340-345 $/t FOB in the United States.

China in September, has stepped up purchases of soybeans in the U.S. in the form of a step towards the signing of a trade agreement, and has already acquired 1 million tonnes, then the price of soybeans in the U.S. increased by 2-3%, and Monday November futures rose 1.3% 329,2 up to $/t

the increased purchases of U.S. soybeans puts a premium on Brazilian soy, which reduces exports. So, Brazil during September 1-20 reduced soybean exports by 40% to 3.2 million tonnes compared with 5.3 million tons in the first half of August, which is 1.4 million tonnes inferior to the corresponding indicator, 2018

the increased purchases by China of U.S. soybeans will soon be able to support world prices, but traders do not believe in the signing of a trade agreement between the US and China in October, especially against the background started impeachment proceedings by Congress trump.