Rapeseed recovers from its low

In Germany, UFOP reports that quotes for rapeseed in Paris registered heavy losses in the wake of weak crude oil prices and a stagnant market. Currently, an upward trend is looming on the horizon, driven by firm soybean and vegetable oil prices.

Harvest delays in South America caused by poor weather and buoyant demand for US material have sent soybean profits leaping in Chicago in March 2016. The nearby surged by just over 7 per cent over the month, exceeding the mark of USD 9 per bushel (the equivalent of EUR 295 per tonne) for the first time since December 2015. Rapeseed in Paris also benefited from the upswing of soybean prices, hitting a six-week high in contracts for both the 2015 crop and the upcoming crop. Even a firm euro rate did not prevent the rise, Agrarmarkt Informations-Gesellschaft (mbH) reports. Rapeseed prices received additional stimulus from the fact that the competitive advantage of rapeseed oil increases as vegetable oil and crude oil prices are on a general rise.

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