In 2017/18 MG production of major vegetable oils will increase by 7 million tonnes
Analysts Oil World forecast that in 2017/18 MG world production of eight major vegetable oils in particular soybean, sunflower, canola, palm, palm kernel, cottonseed, coconut and peanut, will increase by 3.6% to 187,1 million tons.
is the Specified adjustment will occur due to increased production of soy and palm oil at 3.6 million tonnes and 2.1 million tonnes respectively. the total production of other types of vegetable oils will grow by 900 thousand tons, while the volume of production of rapeseed and sunflower oil in comparison with the previous season, will grow only slightly.
World consumption of vegetable oils in the new season will increase by 6.9 million tonnes to of 185.6 million tons, it is Expected that after the increase in import duties on biodiesel from Argentina and Indonesia, the United States will significantly increase the consumption of soybean oil.
the World's exports of oil will increase by 3.07 million tonnes to 83.6 million tons.
the price of vegetable oil remain high. On FOB basis country producer of palm, soy and sunflower oil are traded at 660-670 $/t. However, the new harvest may be somewhat cool markets.
In the EU on 7 September should be a decision on tax reduction on imports of biodiesel from Argentina, which will reduce the price of raw materials for European producers of biodiesel, in particular, canola and soybeans.