no let up in soybean/veg oil market

European and UK soybean oil prices continued to move

higher over the past week following tight availability in

the EU market and gains in the futures market, gains in

the crude (mineral) oil market and strength in competing

world veg oil markets. The Chicago soybeans futures rose to

its highest level since June 2014, on concerns over extremely tight

soybean supplies due to continued harvest delays in Brazil

and concerns over dry weather conditions in Argentina,

which could see production prospects fall in the coming

months. There have been many weather problems in South

America this year with dry weather conditions delaying the

soybean planting in Brazil and Argentina in late 2020 and

more recently by heavy rains which are now delaying the

Brazilian harvest and possibly causing some damage to the

crop. Weather problems have caused a significant fall in

soybean production prospects in the US and South America

over the past 7-8 months, by over 20 million tonnes, from

initial forecasts