rapeseed vegetable and palm oil market report
Rapeseed markets still supportive by very strong demand, delays in the UK and EU rapeseed harvest and sharp gains in Canadian canola-rapeseed markets. There have also been issues with supplies in the UK due to a breakdown at a major UK refiner.
Sunflower oil markets are still firm in the short term, until the arrival of new crop supplies but there are also concerns over current hot and dry conditions could trim yields in Russia but generally, we are expecting a major improvement from 2020. Weather in the next few weeks is key.
Soybean markets have been relatively unchanged due to concerns over slowing demand but there are still come concerns over soybean crop conditions, but the harvest will start later this month. More widespread rains are needed in the coming weeks to ensure there are no reductions in yields. August is a key month for determining crop size-quality.
Palm oil futures are mixed due to slowing exports but there are concerns over slowing July palm oil production, due to the lack of labour. Palm oil stock may rise but are still well below normal and not enough to meet demand. Malaysian palm oil production could be lowered this year but this could be offset by an increase in Indonesia.