Oilseed Market: Declining Soybean Stocks - Weak Palm Oil and Rapeseed Prices The International Grains Council (IGC) has updated global soybean supplies . The worldwide decline is 5% compared to the previous year. The decisive cause is the US harvest , which was 20% worse last autumn at 97 million t . However, the Americans can largely make up for the shortfall with their high overlap stocks. The Brazilian crop currently underway still promises to reach a record level of 122 million tonnes despite minor downward corrections . On the demand side , China is in the foreground of interest with slightly increased import volumes of 88 million tons . The question remains open as to what quantities the Chinese will buy in the USA and Brazil. This year's global production volume of 342 milliont is offset by an estimated consumption of 360 million t . At the end of the marketing year, global inventories will decrease from 54 to 36 million tons . This development leads to a supply situation that can be classified in the lower middle field. The futures prices on the stock exchanges show no significant changes in soybean meal prices for the coming half-year. The upcoming high Brazilian harvest will ensure sufficient price containment. The rapeseed courses on the Paris stock exchange can just maintain the line of € 400 / t after their soaring . The background to the drop in prices is the weakness of the prices for the market leader palm oil in the vegetable oils business . The high degree of interchangeability leads to fierce price competition. In all likelihood, however, the prices will remain at the weakened level reached.
