According to APK-Inform, forward prices of new-crop Ukrainian soybean are significantly higher than the year ago despite the expected growth of oilseed crop in Ukraine.
“Despite the reduction of planted area under soybean in Ukraine, the analysts of APK-Inform forecast the production will increase by almost 20% to 3.7 mln tonnes in 2021. The production will grow due to higher soybean yield that can increase by 23% to 2.57 t/ha, if the weather assists. However, it could not offset the influence of the global market conjuncture. The forward prices of new-crop soybean remain quite high”, - said Anna Tanskaya, the head of the organizing committee of the conference and the head of the department of local markets with APK-Inform.
The bid prices of non-GM new-crop soybean are set at 590-610 USD/t CPT-port, up by average 205 USD/t (or 53%) compared to the year ago level. At the same time, the forward prices of GM soybean are 133-135 USD/t (39-44%) higher at 490-495 USD/t CPT-port.
As to the trade on DAP basis (land border with Poland and Belarus), the expert pointed out that the forward bid prices of non-GM new-crop soybean are set at 610-615 USD/t, up by 232-240 USD/t (61-65%) compared to the forward prices of soybean of the harvest-2020.
“The key factors supporting the prices of new-crop soybean include the overall upward trend on the market of agricultural products observed in 2020/21 MY, the development of the neighbor markets (corn and sunflower oil) and the sharp growth of demand from China due to recovering of swine sector after ASF. The prices stabilized slightly ahead of the new season. However, the overall situation is quite tight. It is mainly due to the unclear prospect of soybean and corn production in South America. So, the next season will not be boring as well”, - A.Tanskaya summarized.
We will discuss the current situation and the global prospects with the leading experts of the Black Sea and the world within the conference Soybean and Meal market to be held on August 26 in Odessa at Premier Hotel Odesa.
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