German rapeseed oil price falls to lowest in 3.5 years

In Germany, UFOP reports that rapeseed oil prices fell to a multi-year low and weakened considerably, while soybean oil also came down sharply. The reduction of tariff rates on palm oil from Indonesia pushed through at the WTO and the lowered tariff rates on biodiesel from Argentina, which have been applied since September, increasingly weighed down prices of vegetable oils in Germany. Rapeseed oil, the domestic feedstock for biodiesel, was most heavily affected by the imports.

Competition in the market grew further, with asking prices being on a steady decline. According to information published by Agrarmarkt Informations-Gesellschaft mbH (AMI) prices were recently reported at EUR 640 per tonne fob Hamburg. This was the lowest level in three and a half years. Asking prices for soybean oil also fell in the first quarter of 2018, averaging EUR 678 per tonne fob Hamburg in February and March. In the same months last year, prices stood at, on average, EUR 778 per tonne.