The rape field crops in parts of Europe and also in Germany provide a poor picture. In Ukraine and other parts of southern Europe, on the other hand, you can expect another good rapeseed harvest. However, these are the only bullish news from this market.
For the still high stocks of German farmers oil mills show little interest, even if the prices are still so low. They can earn more money by processing soybeans and the biodiesel industry barely uses rapeseed methyl ester. Cheap biodiesel imports from Argentina and Indonesia dominate the market. Market participants are also pessimistic on rape seed for the second half of the year. Growing marketing pressure for the old rapeseed crop is likely to increase the gap between supply and demand and further burden rapeseed prices.
Under the impression of sinking soy meal courses at the CBoT, demand for soybean meal and subsequently also for rapeseed meal fell in the past week. This is good news for the prompt needs of the compound feed industry, but it also gives hope that there will be further discounts. From the tight offer of the previous week is now no more speech.
