After a short lull, the vegetable oil markets resumed their growth yesterday. After a three-day fall, palm oil rose in price by 2.6%, and soybean oil – immediately by 3.6%, which led to an increase in prices for sunflower oil and purchase prices for sunflower in Ukraine to a record level.
Soybean oil futures on the US exchange yesterday rose by $ 20 / t to the highest level since 2014 of $ 847.9 / t in total for the month, adding 15% amid rising prices for oil, soybeans and forecasts of shortage of precipitation in South America in next two weeks. The news of the creation of a vaccine against coronavirus adds optimism to the exchanges, although traders do not take into account the rapid increase in the number of patients and the strengthening of quarantines in many states, while mass vaccinations will begin in only 4-6 months.
Oil futures rose 1.5% yesterday, while soybean futures rose 1.1% to $ 431.6 / t, although during the session they reached $ 436.8 / t.
Following the soybean oil market, February palm oil futures on the Malaysian exchange yesterday rose 2.6% to RM3,364 / t or $ 823.5 / t, recovering from the decline at the beginning of the week.
Bid prices of Ukrainian sunflower oil yesterday rose by $ 50 / t to $ 1150-1160 / t FOB, while bid prices rose to $ 1090-1100 / t FOB, but there were no willing to sell at such prices.
Purchase prices for sunflower in Ukraine rose to a record 650-655 $ / t or 18400-18500 UAH / t with delivery to the plant or port. Enterprises with stocks of raw materials stopped prices at the level of 17300-18000 UAH / t. Manufacturers are holding back sales in anticipation of a price level of UAH 20,000 / t. Competition for sunflower seeds is intensifying among refiners as demand for sunflower oil at a record high price has recovered amid rising prices for other oils.
According to Oil World experts, India in October increased its imports of vegetable oils from 1.14 to 1.28 million tons in October compared to September, which is 1.51 million tons in October 2019.In particular, imports of palm oil increased from 604 to 820 thousand tons (919 thousand tons in 2019), sunflower – from 67 to 171 thousand tons (182 thousand tons), while soybean decreased from 417 to 278 thousand tons (400 thousand tons in October 2019).