By FWi staff
THE plummeting oilseed rape market showed no sign of hitting the bottom as values continue to slide last week.
The recent all-too-common falls in the oilseed market continued. with ex-farm prices now under £112.00/t in many areas.
Delivered values lost a further £3.50-£4.50/t for spot deliveries, falling below £120/t, while April to June contracts dropped more than £3 to about £121/t.
Values were also down £5 for harvest deliveries at £114/t, with values in some areas as little as £110/t.
These are now the lowest for oilseed rape since the start of the 1992-93 marketing year, when values hit £104/t following the removal of the old crushing subsidy system, said Ian Wallis of Cargills.
But it is not just the seed values suffering from falling values. The price drop for rapeoil was even steeper last week, narrowing the already low crush margins further.
UK oilseed producers are not alone – values on the global markets took a further plunge over the week with Chicago soyabean prices reaching and all-time low in 23 years.
Low soyaoil values, with prices at a nine year low, along with pessimism over supply and demand fundamentals continues to weigh heavily on prices, said a spokesman from the Home-Grown Cereals Authority.
“Unconfirmed reports that China, India and Bangladesh have defaulted on contracts for Canola from Australia, palm oil from Malaysia and soyaoil from South America added to the negative sentiment,” he said.